Bestway Cement Co (KAR:BWCL) Interest Coverage: 4.81 (As of Mar. 2026) — 49% Below Median


KAR:BWCL Bestway Cement Co Ltd KAR:BWCL
73 GF Score
Price ₨477.04
GF Value ₨322.51
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Bestway Cement Co Interest Coverage?

Bestway Cement Co KAR:BWCL 73 Interest Coverage is 4.81 as of Mar. 2026, which is 49% below its 10-year median of 9.49. GuruFocus rates KAR:BWCL with a GF Score™ of 73/100 and a GF Value™ of ₨322.51 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 307 Building Materials companies, Bestway Cement Co ranks worse than 57% 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. Bestway Cement Co's Operating Income for the three months ended in Mar. 2026 was ₨6,513 Mil. Bestway Cement Co's Interest Expense for the three months ended in Mar. 2026 was ₨-1,355 Mil. Bestway Cement Co's interest coverage for the quarter that ended in Mar. 2026 was 4.81. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Bestway Cement Co's Interest Coverage or its related term are showing as below:

KAR:BWCL' s Interest Coverage Range Over the Past 10 Years
Min: 2.57   Med: 9.49   Max: 25.61
Current: 5.2


KAR:BWCL's Interest Coverage is ranked worse than
57% of 307 companies
in the Building Materials industry
Industry Median: 6.63 vs KAR:BWCL: 5.20

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


Bestway Cement Co  (KAR:BWCL) 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 .


Bestway Cement Co Interest Coverage Related Terms


Bestway Cement Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Bestway Cement Co'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.

Bestway Cement Co Interest Coverage Chart

Bestway Cement Co Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.77 13.24 3.60 2.57 4.26

Bestway Cement Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 3.96 6.12 4.30 5.69 4.81

KAR:BWCL vs CRH, VMC, MLM: Interest Coverage Comparison

For the Building Materials subindustry, Bestway Cement Co'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.


Bestway Cement Co Interest Coverage vs Building Materials Industry

For the Building Materials industry and Basic Materials sector, Bestway Cement Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Bestway Cement Co's Interest Coverage falls into.


KAR:BWCL
73GF Score
Bestway Cement Co Ltd KAR:BWCL
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Bestway Cement Co 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.

Bestway Cement Co's Interest Coverage for the fiscal year that ended in Jun. 2025 is calculated as

Here, for the fiscal year that ended in Jun. 2025, Bestway Cement Co's Interest Expense was ₨-7,582 Mil. Its Operating Income was ₨32,312 Mil. And its Long-Term Debt & Capital Lease Obligation was ₨29,794 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*32311.637/-7582.408
=4.26

Bestway Cement Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Bestway Cement Co's Interest Expense was ₨-1,355 Mil. Its Operating Income was ₨6,513 Mil. And its Long-Term Debt & Capital Lease Obligation was ₨21,888 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*6513.099/-1354.589
=4.81

* 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 4.81 mean?
Bestway Cement Co (KAR:BWCL) has a Interest Coverage of 4.81 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Bestway Cement Co and its competitors. This is 49% below median its historical median of 9.49. Over the past decade, Bestway Cement Co's Interest Coverage has ranged from 2.57 to 25.61. According to the industry distribution chart, Bestway Cement Co ranks #175 out of 307 companies in the Building Materials industry, placing it in the top 57%.
Is Bestway Cement Co's Interest Coverage too high?
Bestway Cement Co's current Interest Coverage of 4.81 is 49% below median its 10-year median of 9.49. Over the past 10 years, this metric has ranged from a low of 2.57 to a high of 25.61. The Building Materials industry median Interest Coverage is 6.63. Bestway Cement Co's value of 4.81 is 27.5% below this industry median. Based on the distribution chart, Bestway Cement Co ranks #175 out of 307 companies in the Building Materials industry, which is below the industry midpoint. Overall, Bestway Cement Co has a GF Score™ of 73/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Bestway Cement Co's Interest Coverage compare to CRH and VMC?
According to the Building Materials industry distribution chart, Bestway Cement Co ranks #175 out of 307 companies for Interest Coverage. This places Bestway Cement Co in the lower half of its industry. The industry median Interest Coverage is 6.63. Bestway Cement Co's value of 4.81 is 27.5% below this benchmark. Historically, Bestway Cement Co's own Interest Coverage has ranged from 2.57 to 25.61 over the past decade. While the company's 10-year median is 9.49 vs. the industry median of 6.63, Bestway Cement Co has consistently been below 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 Building Materials company?
The median Interest Coverage among Building Materials companies is 6.63, based on 307 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. Bestway Cement Co's current Interest Coverage of 4.81 is 27.5% 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 Bestway Cement Co and its competitors. For the Building Materials industry, the median Interest Coverage is 6.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bestway Cement Co's current Interest Coverage is 4.81, which is 49% below median its own 10-year median of 9.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bestway Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Bestway Cement Co (KAR:BWCL) is currently considered Significantly Overvalued. The stock's GF Value™ is ₨322.51, compared to a current price of ₨477.04 — trading 47.9% above its estimated fair value. The current Interest Coverage is 4.81, which is 49% below median its 10-year median of 9.49 and 27.5% below the Building Materials industry median of 6.63. Bestway Cement Co's overall GF Score™ is 73/100 with 5 warning signs to review. 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 Bestway Cement Co (KAR:BWCL), the current Interest Coverage is 4.81 as of Mar. 2026. 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.

Is Bestway Cement Co (KAR:BWCL) Overvalued in 2026?

Based on GuruFocus' analysis, Bestway Cement Co stock appears to be overvalued. The current stock price of ₨477.04 is trading 47.9% above its estimated GF Value™ of ₨322.51. GuruFocus considers Bestway Cement Co to be Significantly Overvalued.

Key valuation signals for KAR:BWCL:

  • Interest Coverage: 4.81 (49% below median its 10-year median of 9.49)
  • GF Value™: ₨322.51 vs. price of ₨477.04 (47.9% above fair value)
  • GF Score™: 73/100 with 5 warning signs
  • Industry Position: 27.5% below the Building Materials median (#175 of 307)

No single metric tells the full story. See the KAR:BWCL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Bestway Cement Co Business Description

Address 19-A, College Road, Bestway Building, F-7 Markaz, Islamabad, PB, PAK, 44000
Bestway Cement Co Ltd is engaged in the production and sale of cement in the local and export market. Its products include Bestway, Pakcem, Stallion, Ecocem, Low Alkali Cement, and others. The company operates in Pakistan and also export to other countries. Geographically, the majority of the revenue is generated from Pakistan.
73GF Score

Get the complete analysis for KAR:BWCL

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₨477.04
Price
₨322.51
GF Value