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PT Budi Starch & Sweetener Tbk (ISX:BUDI) Interest Coverage : 1.65 (As of Mar. 2025)


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What is PT Budi Starch & Sweetener Tbk Interest Coverage?

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. PT Budi Starch & Sweetener Tbk's Operating Income for the three months ended in Mar. 2025 was Rp57,657 Mil. PT Budi Starch & Sweetener Tbk's Interest Expense for the three months ended in Mar. 2025 was Rp-34,884 Mil. PT Budi Starch & Sweetener Tbk's interest coverage for the quarter that ended in Mar. 2025 was 1.65. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for PT Budi Starch & Sweetener Tbk's Interest Coverage or its related term are showing as below:

ISX:BUDI' s Interest Coverage Range Over the Past 10 Years
Min: 1.39   Med: 1.6   Max: 2.07
Current: 1.5


ISX:BUDI's Interest Coverage is ranked worse than
86.98% of 1475 companies
in the Consumer Packaged Goods industry
Industry Median: 8.44 vs ISX:BUDI: 1.50

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


PT Budi Starch & Sweetener Tbk Interest Coverage Historical Data

The historical data trend for PT Budi Starch & Sweetener Tbk'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.

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PT Budi Starch & Sweetener Tbk Interest Coverage Chart

PT Budi Starch & Sweetener Tbk Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.60 1.93 2.07 2.01 1.58

PT Budi Starch & Sweetener Tbk Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.03 1.66 0.95 1.78 1.65

Competitive Comparison of PT Budi Starch & Sweetener Tbk's Interest Coverage

For the Packaged Foods subindustry, PT Budi Starch & Sweetener Tbk'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.


PT Budi Starch & Sweetener Tbk's Interest Coverage Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, PT Budi Starch & Sweetener Tbk's Interest Coverage distribution charts can be found below:

* The bar in red indicates where PT Budi Starch & Sweetener Tbk's Interest Coverage falls into.


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PT Budi Starch & Sweetener Tbk 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.

PT Budi Starch & Sweetener Tbk's Interest Coverage for the fiscal year that ended in Dec. 2024 is calculated as

Here, for the fiscal year that ended in Dec. 2024, PT Budi Starch & Sweetener Tbk's Interest Expense was Rp-137,566 Mil. Its Operating Income was Rp217,369 Mil. And its Long-Term Debt & Capital Lease Obligation was Rp375,000 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*217369/-137566
=1.58

PT Budi Starch & Sweetener Tbk's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, PT Budi Starch & Sweetener Tbk's Interest Expense was Rp-34,884 Mil. Its Operating Income was Rp57,657 Mil. And its Long-Term Debt & Capital Lease Obligation was Rp645,500 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*57657/-34884
=1.65

* 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.


PT Budi Starch & Sweetener Tbk  (ISX:BUDI) 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 .


PT Budi Starch & Sweetener Tbk Interest Coverage Related Terms

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PT Budi Starch & Sweetener Tbk Business Description

Traded in Other Exchanges
N/A
Address
Jalan H.R. Rasuna Said Kav. C-6, Wisma Budi 8th - 9th Floor, Jakarta, IDN, 12940
PT Budi Starch & Sweetener Tbk, along with its subsidiaries, is engaged in offering cassava-based products and all derivative products produced from sweet potato, palm oil, copra, and other agricultural products. The company's operating segments are presented based on its products and include tapioca starch, sweeteners, sulfuric acid, and others, plastic packaging, modified tapioca starch, and others. A majority of its revenue is generated from the sale of tapioca starch. The firm derives a majority of its revenue from the domestic market and also exports its products to other countries.

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