Kuwait Cement Co (KUW:KCEM) Interest Coverage: 3.57 (As of Mar. 2026) — 203% Above Median

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KUW:KCEM Kuwait Cement Co KUW:KCEM
36 GF Score
Price KWD0.39
GF Value KWD0.24
Valuation Significantly Overvalued
! 2 Warning Signs
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What is Kuwait Cement Co Interest Coverage?

Kuwait Cement Co KUW:KCEM -1.02% 36 Interest Coverage is 3.57 as of Mar. 2026, which is 203% above its 10-year median of 1.18. GuruFocus rates KUW:KCEM with a GF Score™ of 36/100 and a GF Value™ of KWD0.24 (Significantly Overvalued). The stock has 2 warning signs investors should review. Among 305 Building Materials companies, Kuwait Cement Co ranks worse than 84.92% 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. Kuwait Cement Co's Operating Income for the three months ended in Mar. 2026 was KWD2.65 Mil. Kuwait Cement Co's Interest Expense for the three months ended in Mar. 2026 was KWD-0.74 Mil. Kuwait Cement Co's interest coverage for the quarter that ended in Mar. 2026 was 3.57. The higher the ratio, the stronger the company's financial strength is.

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

KUW:KCEM' s Interest Coverage Range Over the Past 10 Years
Min: 0.4   Med: 1.18   Max: 6.8
Current: 1.72


KUW:KCEM's Interest Coverage is ranked worse than
84.92% of 305 companies
in the Building Materials industry
Industry Median: 6.81 vs KUW:KCEM: 1.72

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


Kuwait Cement Co  (KUW:KCEM) 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 .


Kuwait Cement Co Interest Coverage Related Terms


Kuwait Cement Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Kuwait 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.

Kuwait Cement Co Interest Coverage Chart

Kuwait Cement 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 0.00 0.00 0.40 0.91 1.18

Kuwait 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 1.19 0.00 1.29 3.30 3.57

KUW:KCEM vs CRH, VMC, MLM: Interest Coverage Comparison

For the Building Materials subindustry, Kuwait 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.


Kuwait Cement Co Interest Coverage vs Building Materials Industry

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

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


KUW:KCEM
36GF Score
Kuwait Cement Co KUW:KCEM
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Kuwait 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.

Kuwait Cement 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, Kuwait Cement Co's Interest Expense was KWD-3.33 Mil. Its Operating Income was KWD3.92 Mil. And its Long-Term Debt & Capital Lease Obligation was KWD59.65 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*3.922/-3.326
=1.18

Kuwait 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, Kuwait Cement Co's Interest Expense was KWD-0.74 Mil. Its Operating Income was KWD2.65 Mil. And its Long-Term Debt & Capital Lease Obligation was KWD63.78 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*2.652/-0.742
=3.57

* 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 3.57 mean?
Kuwait Cement Co (KUW:KCEM) has a Interest Coverage of 3.57 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Kuwait Cement Co and its competitors. This is 203% above median its historical median of 1.18. Over the past decade, Kuwait Cement Co's Interest Coverage has ranged from 0.40 to 6.80. According to the industry distribution chart, Kuwait Cement Co ranks #259 out of 305 companies in the Building Materials industry, placing it in the top 84.9%.
Is Kuwait Cement Co's Interest Coverage too high?
Kuwait Cement Co's current Interest Coverage of 3.57 is 203% above median its 10-year median of 1.18. Over the past 10 years, this metric has ranged from a low of 0.40 to a high of 6.80. The Building Materials industry median Interest Coverage is 6.81. Kuwait Cement Co's value of 3.57 is 47.6% below this industry median. Based on the distribution chart, Kuwait Cement Co ranks #259 out of 305 companies in the Building Materials industry, which is in the bottom quartile relative to peers. Overall, Kuwait Cement Co has a GF Score™ of 36/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Kuwait Cement Co's Interest Coverage compare to CRH and VMC?
According to the Building Materials industry distribution chart, Kuwait Cement Co ranks #259 out of 305 companies for Interest Coverage. This places Kuwait Cement Co in the lower half of its industry. The industry median Interest Coverage is 6.81. Kuwait Cement Co's value of 3.57 is 47.6% below this benchmark. Historically, Kuwait Cement Co's own Interest Coverage has ranged from 0.40 to 6.80 over the past decade. While the company's 10-year median is 1.18 vs. the industry median of 6.81, Kuwait 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 6.81, based on 305 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. Kuwait Cement Co's current Interest Coverage of 3.57 is 47.6% 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 Kuwait Cement Co and its competitors. For the Building Materials industry, the median Interest Coverage is 6.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Kuwait Cement Co's current Interest Coverage is 3.57, which is 203% above median its own 10-year median of 1.18. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Kuwait Cement Co stock overvalued right now?
Based on GuruFocus' analysis, Kuwait Cement Co (KUW:KCEM) is currently considered Significantly Overvalued. The stock's GF Value™ is KWD0.24, compared to a current price of KWD0.39 — trading 62.1% above its estimated fair value. The current Interest Coverage is 3.57, which is 203% above median its 10-year median of 1.18 and 47.6% below the Building Materials industry median of 6.81. Kuwait Cement Co's overall GF Score™ is 36/100 with 2 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 Kuwait Cement Co (KUW:KCEM), the current Interest Coverage is 3.57 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 Kuwait Cement Co (KUW:KCEM) Overvalued in 2026?

Based on GuruFocus' analysis, Kuwait Cement Co stock appears to be overvalued. The current stock price of KWD0.39 is trading 62.1% above its estimated GF Value™ of KWD0.24. GuruFocus considers Kuwait Cement Co to be Significantly Overvalued.

Key valuation signals for KUW:KCEM:

  • Interest Coverage: 3.57 (203% above median its 10-year median of 1.18)
  • GF Value™: KWD0.24 vs. price of KWD0.39 (62.1% above fair value)
  • GF Score™: 36/100 with 2 warning signs
  • Industry Position: 47.6% below the Building Materials median (#259 of 305)

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


Kuwait Cement Co Business Description

Address Al-Shuhada Street, P.O. Box 20581, Cement House Building, Al-Sawaber Area, Sharq, Safat, Kuwait, KWT, 13066
Kuwait Cement Co is an integrated cement manufacturing company in Kuwait. Its operating business segments are the Manufacturing sector and Investment sector. The company generates maximum revenue from the Manufacturing sector segment. The Manufacturing sector of the company includes the production and sale of cement and ready-mix cement, and its products include Ordinary Portland Cement, Salt Resistant Cement, and many more.
36GF Score

Get the complete analysis for KUW:KCEM

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

KWD0.39
Price
KWD0.24
GF Value