Fauji Fertilizer Co (KAR:FFC) Interest Coverage: 9.94 (As of Mar. 2026) — 22% Above Median


KAR:FFC Fauji Fertilizer Co Ltd KAR:FFC
91 GF Score
Price ₨558.68
GF Value ₨441.97
Valuation Modestly Overvalued
! 4 Warning Signs
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What is Fauji Fertilizer Co Interest Coverage?

Fauji Fertilizer Co KAR:FFC 91 Interest Coverage is 9.94 as of Mar. 2026, which is 22% above its 10-year median of 8.14. GuruFocus rates KAR:FFC with a GF Score™ of 91/100 and a GF Value™ of ₨441.97 (Modestly Overvalued). The stock has 4 warning signs investors should review. Among 198 Agriculture companies, Fauji Fertilizer Co ranks better than 61.62% 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. Fauji Fertilizer Co's Operating Income for the three months ended in Mar. 2026 was ₨22,645 Mil. Fauji Fertilizer Co's Interest Expense for the three months ended in Mar. 2026 was ₨-2,277 Mil. Fauji Fertilizer Co's interest coverage for the quarter that ended in Mar. 2026 was 9.94. The higher the ratio, the stronger the company's financial strength is.

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

KAR:FFC' s Interest Coverage Range Over the Past 10 Years
Min: 4.57   Med: 8.14   Max: 15.22
Current: 15.22


KAR:FFC's Interest Coverage is ranked better than
61.62% of 198 companies
in the Agriculture industry
Industry Median: 7.24 vs KAR:FFC: 15.22

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


Fauji Fertilizer Co  (KAR:FFC) 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 .


Fauji Fertilizer Co Interest Coverage Related Terms


Fauji Fertilizer Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Fauji Fertilizer 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.

Fauji Fertilizer Co Interest Coverage Chart

Fauji Fertilizer Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 11.20 4.57 7.27 13.03 15.06

Fauji Fertilizer 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 8.42 12.72 18.68 24.96 9.94

KAR:FFC vs CTVA, CF, MOS: Interest Coverage Comparison

For the Agricultural Inputs subindustry, Fauji Fertilizer 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.


Fauji Fertilizer Co Interest Coverage vs Agriculture Industry

For the Agriculture industry and Basic Materials sector, Fauji Fertilizer Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Fauji Fertilizer Co's Interest Coverage falls into.


KAR:FFC
91GF Score
Fauji Fertilizer Co Ltd KAR:FFC
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Fauji Fertilizer 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.

Fauji Fertilizer Co's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Fauji Fertilizer Co's Interest Expense was ₨-6,654 Mil. Its Operating Income was ₨100,224 Mil. And its Long-Term Debt & Capital Lease Obligation was ₨51,215 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*100224.253/-6653.558
=15.06

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

Here, for the three months ended in Mar. 2026, Fauji Fertilizer Co's Interest Expense was ₨-2,277 Mil. Its Operating Income was ₨22,645 Mil. And its Long-Term Debt & Capital Lease Obligation was ₨50,899 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*22644.535/-2277.016
=9.94

* 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 9.94 mean?
Fauji Fertilizer Co (KAR:FFC) has a Interest Coverage of 9.94 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Fauji Fertilizer Co and its competitors. This is 22% above median its historical median of 8.14. Over the past decade, Fauji Fertilizer Co's Interest Coverage has ranged from 4.57 to 15.22. According to the industry distribution chart, Fauji Fertilizer Co ranks #76 out of 198 companies in the Agriculture industry, placing it in the top 38.4%.
Is Fauji Fertilizer Co's Interest Coverage too high?
Fauji Fertilizer Co's current Interest Coverage of 9.94 is 22% above median its 10-year median of 8.14. Over the past 10 years, this metric has ranged from a low of 4.57 to a high of 15.22. The Agriculture industry median Interest Coverage is 7.24. Fauji Fertilizer Co's value of 9.94 is 37.3% above this industry median. Based on the distribution chart, Fauji Fertilizer Co ranks #76 out of 198 companies in the Agriculture industry, which is above the industry midpoint. Overall, Fauji Fertilizer Co has a GF Score™ of 91/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fauji Fertilizer Co's Interest Coverage compare to CTVA and CF?
According to the Agriculture industry distribution chart, Fauji Fertilizer Co ranks #76 out of 198 companies for Interest Coverage. This puts Fauji Fertilizer Co in the upper half of its industry. The industry median Interest Coverage is 7.24. Fauji Fertilizer Co's value of 9.94 is 37.3% above this benchmark. Historically, Fauji Fertilizer Co's own Interest Coverage has ranged from 4.57 to 15.22 over the past decade. While the company's 10-year median is 8.14 vs. the industry median of 7.24, Fauji Fertilizer Co 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 an Agriculture company?
The median Interest Coverage among Agriculture companies is 7.24, based on 198 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. Fauji Fertilizer Co's current Interest Coverage of 9.94 is 37.3% 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 Fauji Fertilizer Co and its competitors. For the Agriculture industry, the median Interest Coverage is 7.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Fauji Fertilizer Co's current Interest Coverage is 9.94, which is 22% above median its own 10-year median of 8.14. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fauji Fertilizer Co stock overvalued right now?
Based on GuruFocus' analysis, Fauji Fertilizer Co (KAR:FFC) is currently considered Modestly Overvalued. The stock's GF Value™ is ₨441.97, compared to a current price of ₨558.68 — trading 26.4% above its estimated fair value. The current Interest Coverage is 9.94, which is 22% above median its 10-year median of 8.14 and 37.3% above the Agriculture industry median of 7.24. Fauji Fertilizer Co's overall GF Score™ is 91/100 with 4 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 Fauji Fertilizer Co (KAR:FFC), the current Interest Coverage is 9.94 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 Fauji Fertilizer Co (KAR:FFC) Overvalued in 2026?

Based on GuruFocus' analysis, Fauji Fertilizer Co stock appears to be overvalued. The current stock price of ₨558.68 is trading 26.4% above its estimated GF Value™ of ₨441.97. GuruFocus considers Fauji Fertilizer Co to be Modestly Overvalued.

Key valuation signals for KAR:FFC:

  • Interest Coverage: 9.94 (22% above median its 10-year median of 8.14)
  • GF Value™: ₨441.97 vs. price of ₨558.68 (26.4% above fair value)
  • GF Score™: 91/100 with 4 warning signs
  • Industry Position: 37.3% above the Agriculture median (#76 of 198)

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


Fauji Fertilizer Co Business Description

Address 156 - The Mall, Rawalpindi Cantt, Sona Tower, Rawalpindi, PB, PAK
Fauji Fertilizer Co Ltd is a urea manufacturing company. The company's operating segment includes Fertilizers; Power; Food and Technical Services. It generates maximum revenue from the Fertilizers segment. The Fertilizers segment includes buying, manufacturing, and distributing fertilizer. Its Power segment includes producing and selling power, The Food segment includes processing fresh and frozen fruits, vegetables, frozen cooked and semi-cooked food, and the Technical Services segment is engaged in the provision of technical, maintenance, operations, inspection, and IT services.
91GF Score

Get the complete analysis for KAR:FFC

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

₨558.68
Price
₨441.97
GF Value