Rainbow ChickenJSE:RBO +0.52%9 Interest Coverage is 54.01 as of Dec. 2025, which is 517% above its 10-year median of 8.75. GuruFocus rates JSE:RBO with a GF Score™ of 9/100. Among 1,507 Consumer Packaged Goods companies, Rainbow Chicken ranks better than 69.41% on this metric.
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. Rainbow Chicken's
Operating Income
for the
six
months ended in Dec. 2025 was R866 Mil. Rainbow Chicken's Interest Expense for the
six
months ended in Dec. 2025 was R-16 Mil.
Rainbow Chicken's interest coverage for the quarter that ended in Dec. 2025 was 54.01.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Rainbow Chicken's Interest Coverage or its related term are showing as below:
JSE:RBO'
s Interest Coverage Range Over the Past 10 Years
Min: 1.78 Med: 8.75 Max: 27.28
Current: 27.28
JSE:RBO's Interest Coverage is ranked better than 69.41% of 1507
companies
in the Consumer Packaged Goods industry
Industry Median: 8.6
vs JSE:RBO: 27.28
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 .
Rainbow Chicken Interest Coverage Related Terms
Rainbow Chicken Interest Coverage Historical Data
* Premium members only.
The historical data trend for Rainbow Chicken'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.
JSE:RBO vs KHC, GIS, HRL: Interest Coverage Comparison
For the Packaged Foods subindustry, Rainbow Chicken'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.
Rainbow Chicken Interest Coverage vs Consumer Packaged Goods Industry
For the Consumer Packaged Goods industry and Consumer Defensive sector, Rainbow Chicken's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Rainbow Chicken's Interest Coverage falls into.
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:
* 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.
Rainbow Chicken (JSE:RBO) has a Interest Coverage of 54.01 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Rainbow Chicken and its competitors. This is 517% above median its historical median of 8.75. Over the past decade, Rainbow Chicken's Interest Coverage has ranged from 1.78 to 27.28. According to the industry distribution chart, Rainbow Chicken ranks #461 out of 1507 companies in the Consumer Packaged Goods industry, placing it in the top 30.6%.
Is Rainbow Chicken's Interest Coverage too high?
Rainbow Chicken's current Interest Coverage of 54.01 is 517% above median its 10-year median of 8.75. Over the past 10 years, this metric has ranged from a low of 1.78 to a high of 27.28. The Consumer Packaged Goods industry median Interest Coverage is 8.60. Rainbow Chicken's value of 54.01 is 528% above this industry median. Based on the distribution chart, Rainbow Chicken ranks #461 out of 1507 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Rainbow Chicken has a GF Score™ of 9/100, reflecting its overall financial health beyond just this single metric.
How does Rainbow Chicken's Interest Coverage compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Rainbow Chicken ranks #461 out of 1507 companies for Interest Coverage. This puts Rainbow Chicken in the upper half of its industry. The industry median Interest Coverage is 8.60. Rainbow Chicken's value of 54.01 is 528% above this benchmark. Historically, Rainbow Chicken's own Interest Coverage has ranged from 1.78 to 27.28 over the past decade. While the company's 10-year median is 8.75 vs. the industry median of 8.60, Rainbow Chicken has consistently been above the industry average. 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 Consumer Packaged Goods company?
The median Interest Coverage among Consumer Packaged Goods companies is 8.60, based on 1,507 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. Rainbow Chicken's current Interest Coverage of 54.01 is 528% 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 Rainbow Chicken and its competitors. For the Consumer Packaged Goods industry, the median Interest Coverage is 8.60 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rainbow Chicken's current Interest Coverage is 54.01, which is 517% above median its own 10-year median of 8.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rainbow Chicken stock overvalued right now?
Rainbow Chicken (JSE:RBO) has a current Interest Coverage of 54.01. The current Interest Coverage is 54.01, which is 517% above median its 10-year median of 8.75 and 528% above the Consumer Packaged Goods industry median of 8.60. Rainbow Chicken's overall GF Score™ is 9/100. 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 Rainbow Chicken (JSE:RBO), the current Interest Coverage is 54.01 as of Dec. 2025. 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.
Rainbow Chicken Ltd is a fully integrated broiler producing company involved in all stages of chicken production from farm to fork. It is a trusted South African heritage brand that consumers have come to rely on for quality chicken products. Its diverse product offering includes the following product sets: Fresh Chicken, Standard Chicken, Frozen Specialized Chicken, Chilled process meat. It segments includes Chicken, Animal Feed (consisting of Epol and Driehoek), Waste-to-Value (consisting of Matzonox and Matzonox Fertilisers), Group (other immaterial segments). Maximum of revenue is from Chicken Segment.
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