Isbir Holding AS (IST:ISBIR) Interest Coverage: 26.41 (As of Sep. 2013)


What is Isbir Holding AS Interest Coverage?

Isbir Holding AS IST:ISBIR -0.14% Interest Coverage is 26.41 as of Sep. 2013.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income by its Interest Expense. Isbir Holding AS's Operating Income for the six months ended in Sep. 2013 was ₺91.2 Mil. Isbir Holding AS's Interest Expense for the six months ended in Sep. 2013 was ₺-3.5 Mil. Isbir Holding AS's interest coverage for the quarter that ended in Sep. 2013 was 26.41. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Isbir Holding AS's Interest Coverage or its related term are showing as below:


IST:ISBIR's Interest Coverage is not ranked *
in the Furnishings, Fixtures & Appliances industry.
Industry Median: 11.05
* Ranked among companies with meaningful Interest Coverage only.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Isbir Holding AS  (IST:ISBIR) Interest Coverage Explanation

Ben Graham requires that a company has a minimum interest coverage of 5 with the companies he invested. If the interest coverage is less than 2, the company is burdened by debt. Any business slow or recession may drag the company into a situation where it cannot pay the interest on its debt.

Interest Coverage is an important factor when GuruFocus ranks a company's overage Financial Strength .

Isbir Holding AS Interest Coverage Related Terms

Isbir Holding AS Interest Coverage Historical Data

* Premium members only.

The historical data trend for Isbir Holding AS's Interest Coverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Note: For Interest Coverage, "No debt" indicates no long-term debt. An indication of "No Debt" does not necessarily mean that the company has no long-term debt obligations; it could be due to missing data in the quarterly or annual report. Use caution when interpreting this information.

Isbir Holding AS Interest Coverage Chart

Isbir Holding AS Annual Data
Trend Mar12 Mar13
Interest Coverage
0.00 0.00

Isbir Holding AS Semi-Annual Data
Mar12 Sep12 Mar13 Sep13
Interest Coverage N/A 0.44 0.00 26.41

IST:ISBIR vs LZB, AMWD, SPB: Interest Coverage Comparison

For the Furnishings, Fixtures & Appliances subindustry, Isbir Holding AS's Interest Coverage, along with its competitors' market caps and Interest Coverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Isbir Holding AS Interest Coverage vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Isbir Holding AS's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Isbir Holding AS's Interest Coverage falls into.


Isbir Holding AS Interest Coverage Calculation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

If Interest Expense is negative and Operating Income is positive, then

Interest Coverage=-1* Operating Income /Interest Expense

Else if Interest Expense is negative and Operating Income is negative, then

The company did not have earnings to cover the interest expense.

Else if Interest Expense is 0 and Long-Term Debt & Capital Lease Obligation is 0, then

The company had no debt (1).


Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Isbir Holding AS's Interest Coverage for the fiscal year that ended in Mar. 2013 is calculated as

Here, for the fiscal year that ended in Mar. 2013, Isbir Holding AS's Interest Expense was ₺-55.4 Mil. Its Operating Income was ₺-6.9 Mil. And its Long-Term Debt & Capital Lease Obligation was ₺61.7 Mil.

Isbir Holding AS did not have earnings to cover the interest expense.

Isbir Holding AS's Interest Coverage for the quarter that ended in Sep. 2013 is calculated as

Here, for the six months ended in Sep. 2013, Isbir Holding AS's Interest Expense was ₺-3.5 Mil. Its Operating Income was ₺91.2 Mil. And its Long-Term Debt & Capital Lease Obligation was ₺46.7 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2013 )/Interest Expense (Q: Sep. 2013 )
=-1*91.205/-3.454
=26.41

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The higher the ratio, the stronger the company's Financial Strength is.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 26.41 mean?
Isbir Holding AS (IST:ISBIR) has a Interest Coverage of 26.41 as of Sep. 2013. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Isbir Holding AS and its competitors.
Is Isbir Holding AS's Interest Coverage too high?
Isbir Holding AS's current Interest Coverage is 26.41. The Furnishings, Fixtures & Appliances industry median Interest Coverage is 11.05. Isbir Holding AS's value of 26.41 is 139% above this industry median.
How does Isbir Holding AS's Interest Coverage compare to LZB and AMWD?
Isbir Holding AS's Interest Coverage of 26.41 can be compared against companies in the Furnishings, Fixtures & Appliances industry. The industry median Interest Coverage is 11.05. Isbir Holding AS's value of 26.41 is 139% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Interest Coverage for a Furnishings, Fixtures & Appliances company?
The median Interest Coverage among Furnishings, Fixtures & Appliances companies is 11.05, based on 293 companies in the industry. Companies in the top quartile (top 25%) have a Interest Coverage significantly above this median, while those in the bottom quartile fall well below. However, Interest Coverage should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Isbir Holding AS's current Interest Coverage of 26.41 is 139% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Interest Coverage mean?
A high Interest Coverage can signal that a stock is expensive relative to its fundamentals. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Isbir Holding AS and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Interest Coverage is 11.05 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Isbir Holding AS's current Interest Coverage is 26.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Isbir Holding AS stock overvalued right now?
Isbir Holding AS (IST:ISBIR) has a current Interest Coverage of 26.41. The current Interest Coverage is 26.41 and 139% above the Furnishings, Fixtures & Appliances industry median of 11.05. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Interest Coverage calculated?
Interest Coverage is calculated from a company's financial statements. For Isbir Holding AS (IST:ISBIR), the current Interest Coverage is 26.41 as of Sep. 2013. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Isbir Holding AS Business Description

Address Ataturk Boulevard No 169/54, Cankaya, Ankara, TUR, 6680
Isbir Holding AS is a holding company. Along with its subsidiaries, the company manufactures mattresses. Its product includes home textiles, baby products, sofa and bed series among others.