Koton Magazacilik Tekstilnayi Ve Ticaret AS (IST:KOTON) Interest Coverage: 1.06 (As of Dec. 2023)


IST:KOTON Koton Magazacilik Tekstil Sanayi Ve Ticaret AS IST:KOTON
20 GF Score
Price ₺14.43
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What is Koton Magazacilik Tekstilnayi Ve Ticaret AS Interest Coverage?

Koton Magazacilik Tekstilnayi Ve Ticaret AS IST:KOTON -1.90% 20 Interest Coverage is 1.06 as of Dec. 2023. GuruFocus rates IST:KOTON with a GF Score™ of 20/100.

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. Koton Magazacilik Tekstilnayi Ve Ticaret AS's Operating Income for the six months ended in Dec. 2023 was ₺1,687 Mil. Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Expense for the six months ended in Dec. 2023 was ₺-1,593 Mil. Koton Magazacilik Tekstilnayi Ve Ticaret AS's interest coverage for the quarter that ended in Dec. 2023 was 1.06. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage or its related term are showing as below:


IST:KOTON's Interest Coverage is not ranked *
in the Manufacturing - Apparel & Accessories industry.
Industry Median: 5.43
* 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.

Koton Magazacilik Tekstilnayi Ve Ticaret AS  (IST:KOTON) 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 .

Koton Magazacilik Tekstilnayi Ve Ticaret AS Interest Coverage Related Terms

Koton Magazacilik Tekstilnayi Ve Ticaret AS Interest Coverage Historical Data

* Premium members only.

The historical data trend for Koton Magazacilik Tekstilnayi Ve Ticaret 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.

Koton Magazacilik Tekstilnayi Ve Ticaret AS Interest Coverage Chart

Koton Magazacilik Tekstilnayi Ve Ticaret AS Annual Data
Trend Dec21 Dec22 Dec23
Interest Coverage
0.13 0.99 1.06

Koton Magazacilik Tekstilnayi Ve Ticaret AS Semi-Annual Data
Dec21 Dec22 Dec23
Interest Coverage 0.13 0.99 1.06

IST:KOTON vs RL, LEVI, VFC: Interest Coverage Comparison

For the Apparel Manufacturing subindustry, Koton Magazacilik Tekstilnayi Ve Ticaret 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.

Koton Magazacilik Tekstilnayi Ve Ticaret AS Interest Coverage vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage falls into.


IST:KOTON
20GF Score
Koton Magazacilik Tekstil Sanayi Ve Ticaret AS IST:KOTON
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Koton Magazacilik Tekstilnayi Ve Ticaret 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.

Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage for the fiscal year that ended in Dec. 2023 is calculated as

Here, for the fiscal year that ended in Dec. 2023, Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Expense was ₺-1,593 Mil. Its Operating Income was ₺1,687 Mil. And its Long-Term Debt & Capital Lease Obligation was ₺1,478 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2023 )/Interest Expense (A: Dec. 2023 )
=-1*1686.739/-1593.362
=1.06

Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage for the quarter that ended in Dec. 2023 is calculated as

Here, for the six months ended in Dec. 2023, Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Expense was ₺-1,593 Mil. Its Operating Income was ₺1,687 Mil. And its Long-Term Debt & Capital Lease Obligation was ₺1,478 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2023 )/Interest Expense (Q: Dec. 2023 )
=-1*1686.739/-1593.362
=1.06

* 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 1.06 mean?
Koton Magazacilik Tekstilnayi Ve Ticaret AS (IST:KOTON) has a Interest Coverage of 1.06 as of Dec. 2023. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Koton Magazacilik Tekstilnayi Ve Ticaret AS and its competitors.
Is Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage too high?
Koton Magazacilik Tekstilnayi Ve Ticaret AS's current Interest Coverage is 1.06. The Manufacturing - Apparel & Accessories industry median Interest Coverage is 5.43. Koton Magazacilik Tekstilnayi Ve Ticaret AS's value of 1.06 is 80.5% below this industry median. Overall, Koton Magazacilik Tekstilnayi Ve Ticaret AS has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage compare to RL and LEVI?
Koton Magazacilik Tekstilnayi Ve Ticaret AS's Interest Coverage of 1.06 can be compared against companies in the Manufacturing - Apparel & Accessories industry. The industry median Interest Coverage is 5.43. Koton Magazacilik Tekstilnayi Ve Ticaret AS's value of 1.06 is 80.5% below 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 Manufacturing - Apparel & Accessories company?
The median Interest Coverage among Manufacturing - Apparel & Accessories companies is 5.43, based on 741 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. Koton Magazacilik Tekstilnayi Ve Ticaret AS's current Interest Coverage of 1.06 is 80.5% below 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 Koton Magazacilik Tekstilnayi Ve Ticaret AS and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Interest Coverage is 5.43 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Koton Magazacilik Tekstilnayi Ve Ticaret AS's current Interest Coverage is 1.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Koton Magazacilik Tekstilnayi Ve Ticaret AS stock overvalued right now?
Koton Magazacilik Tekstilnayi Ve Ticaret AS (IST:KOTON) has a current Interest Coverage of 1.06. The current Interest Coverage is 1.06 and 80.5% below the Manufacturing - Apparel & Accessories industry median of 5.43. Koton Magazacilik Tekstilnayi Ve Ticaret AS's overall GF Score™ is 20/100. 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 Koton Magazacilik Tekstilnayi Ve Ticaret AS (IST:KOTON), the current Interest Coverage is 1.06 as of Dec. 2023. 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.

Koton Magazacilik Tekstilnayi Ve Ticaret AS Business Description

Address Ayazaga Street, No:3, Ic Kapi No:5, Ayazaga District, Istanbul, TUR
Koton Magazacilik Tekstil Sanayi Ve Ticaret AS is a Fashion company that has grown into a regional retail ready-to-wear company that designs and sells Koton branded products in four continents. Its field of activity is to design and produce all kinds of textile and accessory products and to sell stores (retail sales) operated by itself or by Franchisees at home and abroad, through its website koton.com and the Company's mobile application. e-commerce channel, including local and international online marketplaces.
20GF Score

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