Aeorema Communications (LSE:AEO) Interest Coverage: 33.36 (As of Jun. 2025) — 99% Below Median


LSE:AEO Aeorema Communications PLC LSE:AEO
58 GF Score
Price £0.63
GF Value £0.79
Valuation Modestly Undervalued
! 9 Warning Signs
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What is Aeorema Communications Interest Coverage?

Aeorema Communications LSE:AEO 58 Interest Coverage is 33.36 as of Jun. 2025, which is 99% below its 10-year median of 5,064.00. GuruFocus rates LSE:AEO with a GF Score™ of 58/100 and a GF Value™ of £0.79 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 605 Media - Diversified companies, Aeorema Communications ranks better than 50.58% 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. Aeorema Communications's Operating Income for the six months ended in Jun. 2025 was £0.47 Mil. Aeorema Communications's Interest Expense for the six months ended in Jun. 2025 was £-0.01 Mil. Aeorema Communications's interest coverage for the quarter that ended in Jun. 2025 was 33.36. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Aeorema Communications's Interest Coverage or its related term are showing as below:

LSE:AEO' s Interest Coverage Range Over the Past 10 Years
Min: 12.03   Med: 5064   Max: No Debt
Current: 12.03


LSE:AEO's Interest Coverage is ranked better than
50.58% of 605 companies
in the Media - Diversified industry
Industry Median: 11.65 vs LSE:AEO: 12.03

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


Aeorema Communications  (LSE:AEO) 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 .


Aeorema Communications Interest Coverage Related Terms


Aeorema Communications Interest Coverage Historical Data

* Premium members only.

The historical data trend for Aeorema Communications'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.

Aeorema Communications Interest Coverage Chart

Aeorema Communications Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 30.75 23.11 12.85

Aeorema Communications Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25
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 32.00 0.00 40.89 0.00 33.36

LSE:AEO vs NFLX, DIS, WBD: Interest Coverage Comparison

For the Entertainment subindustry, Aeorema Communications'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.


Aeorema Communications Interest Coverage vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Aeorema Communications's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Aeorema Communications's Interest Coverage falls into.


LSE:AEO
58GF Score
Aeorema Communications PLC LSE:AEO
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Aeorema Communications 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.

Aeorema Communications's Interest Coverage for the fiscal year that ended in Jun. 2024 is calculated as

Here, for the fiscal year that ended in Jun. 2024, Aeorema Communications's Interest Expense was £-0.04 Mil. Its Operating Income was £0.51 Mil. And its Long-Term Debt & Capital Lease Obligation was £0.50 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2024 )/Interest Expense (A: Jun. 2024 )
=-1*0.514/-0.04
=12.85

Aeorema Communications's Interest Coverage for the quarter that ended in Jun. 2025 is calculated as

Here, for the six months ended in Jun. 2025, Aeorema Communications's Interest Expense was £-0.01 Mil. Its Operating Income was £0.47 Mil. And its Long-Term Debt & Capital Lease Obligation was £0.38 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2025 )/Interest Expense (Q: Jun. 2025 )
=-1*0.467/-0.014
=33.36

* 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 33.36 mean?
Aeorema Communications (LSE:AEO) has a Interest Coverage of 33.36 as of Jun. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Aeorema Communications and its competitors. This is 99% below median its historical median of 5,064.00. Over the past decade, Aeorema Communications' Interest Coverage has ranged from 12.03 to 10,000.00. According to the industry distribution chart, Aeorema Communications ranks #299 out of 605 companies in the Media - Diversified industry, placing it in the top 49.4%.
Is Aeorema Communications' Interest Coverage too high?
Aeorema Communications' current Interest Coverage of 33.36 is 99% below median its 10-year median of 5,064.00. Over the past 10 years, this metric has ranged from a low of 12.03 to a high of 10,000.00. The Media - Diversified industry median Interest Coverage is 11.65. Aeorema Communications' value of 33.36 is 186.4% above this industry median. Based on the distribution chart, Aeorema Communications ranks #299 out of 605 companies in the Media - Diversified industry, which is above the industry midpoint. Overall, Aeorema Communications has a GF Score™ of 58/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Aeorema Communications' Interest Coverage compare to NFLX and DIS?
According to the Media - Diversified industry distribution chart, Aeorema Communications ranks #299 out of 605 companies for Interest Coverage. This puts Aeorema Communications in the upper half of its industry. The industry median Interest Coverage is 11.65. Aeorema Communications' value of 33.36 is 186.4% above this benchmark. Historically, Aeorema Communications' own Interest Coverage has ranged from 12.03 to 10,000.00 over the past decade. While the company's 10-year median is 5,064.00 vs. the industry median of 11.65, Aeorema Communications 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 Media - Diversified company?
The median Interest Coverage among Media - Diversified companies is 11.65, based on 605 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. Aeorema Communications's current Interest Coverage of 33.36 is 186.4% 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 Aeorema Communications and its competitors. For the Media - Diversified industry, the median Interest Coverage is 11.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Aeorema Communications's current Interest Coverage is 33.36, which is 99% below median its own 10-year median of 5,064.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Aeorema Communications stock overvalued right now?
Based on GuruFocus' analysis, Aeorema Communications (LSE:AEO) is currently considered Modestly Undervalued. The stock's GF Value™ is £0.79, compared to a current price of £0.63 — trading 20.9% below its estimated fair value. The current Interest Coverage is 33.36, which is 99% below median its 10-year median of 5,064.00 and 186.4% above the Media - Diversified industry median of 11.65. Aeorema Communications' overall GF Score™ is 58/100 with 9 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 Aeorema Communications (LSE:AEO), the current Interest Coverage is 33.36 as of Jun. 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.

Is Aeorema Communications (LSE:AEO) Overvalued in 2026?

Based on GuruFocus' analysis, Aeorema Communications stock appears to be undervalued. The current stock price of £0.63 is trading 20.9% below its estimated GF Value™ of £0.79. GuruFocus considers Aeorema Communications to be Modestly Undervalued.

Key valuation signals for LSE:AEO:

  • Interest Coverage: 33.36 (99% below median its 10-year median of 5,064.00)
  • GF Value™: £0.79 vs. price of £0.63 (20.9% below fair value)
  • GF Score™: 58/100 with 9 warning signs
  • Industry Position: 186.4% above the Media - Diversified median (#299 of 605)

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


Aeorema Communications Business Description

Address 87 New Cavendish Street, London, GBR, W1W 6XD
Aeorema Communications PLC is a live events company. The company specializes in devising and delivering corporate communication solutions. The company's customers are spread across the United Kingdom, the United States, and the rest of the world. The revenue generated by the company is derived from the provision of services like assisting clients with venue sourcing, event management, and incentive travel.
58GF Score

Get the complete analysis for LSE:AEO

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

£0.63
Price
£0.79
GF Value