Frontier Developments (LSE:FDEV) Interest Coverage: 16.32 (As of Nov. 2025) — 100% Below Median


LSE:FDEV Frontier Developments PLC LSE:FDEV
67 GF Score
Price £4.03
GF Value £2.81
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Frontier Developments Interest Coverage?

Frontier Developments LSE:FDEV -0.37% 67 Interest Coverage is 16.32 as of Nov. 2025, which is 100% below its 10-year median of 5,020.73. GuruFocus rates LSE:FDEV with a GF Score™ of 67/100 and a GF Value™ of £2.81 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 316 Interactive Media companies, Frontier Developments ranks worse than 68.67% 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. Frontier Developments's Operating Income for the six months ended in Nov. 2025 was £7.8 Mil. Frontier Developments's Interest Expense for the six months ended in Nov. 2025 was £-0.5 Mil. Frontier Developments's interest coverage for the quarter that ended in Nov. 2025 was 16.32. The higher the ratio, the stronger the company's financial strength is.

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

LSE:FDEV' s Interest Coverage Range Over the Past 10 Years
Min: 2.59   Med: 5020.73   Max: No Debt
Current: 12.26


LSE:FDEV's Interest Coverage is ranked worse than
68.67% of 316 companies
in the Interactive Media industry
Industry Median: 38.305 vs LSE:FDEV: 12.26

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


Frontier Developments  (LSE:FDEV) 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 .


Frontier Developments Interest Coverage Related Terms


Frontier Developments Interest Coverage Historical Data

* Premium members only.

The historical data trend for Frontier Developments'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.

Frontier Developments Interest Coverage Chart

Frontier Developments Annual Data
Trend May16 May17 May18 May19 May20 May21 May22 May23 May24 May25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 27.24 2.59 N/A 0.00 8.47

Frontier Developments Semi-Annual Data
May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23 May24 Nov24 May25 Nov25
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 N/A 16.63 8.56 8.38 16.32

LSE:FDEV vs NTES, EA, TTWO: Interest Coverage Comparison

For the Electronic Gaming & Multimedia subindustry, Frontier Developments'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.


Frontier Developments Interest Coverage vs Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Frontier Developments's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Frontier Developments's Interest Coverage falls into.


LSE:FDEV
67GF Score
Frontier Developments PLC LSE:FDEV
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Frontier Developments 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.

Frontier Developments's Interest Coverage for the fiscal year that ended in May. 2025 is calculated as

Here, for the fiscal year that ended in May. 2025, Frontier Developments's Interest Expense was £-1.0 Mil. Its Operating Income was £8.7 Mil. And its Long-Term Debt & Capital Lease Obligation was £17.6 Mil.

Interest Coverage=-1* Operating Income (A: May. 2025 )/Interest Expense (A: May. 2025 )
=-1*8.741/-1.032
=8.47

Frontier Developments's Interest Coverage for the quarter that ended in Nov. 2025 is calculated as

Here, for the six months ended in Nov. 2025, Frontier Developments's Interest Expense was £-0.5 Mil. Its Operating Income was £7.8 Mil. And its Long-Term Debt & Capital Lease Obligation was £16.7 Mil.

Interest Coverage=-1* Operating Income (Q: Nov. 2025 )/Interest Expense (Q: Nov. 2025 )
=-1*7.815/-0.479
=16.32

* 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 16.32 mean?
Frontier Developments (LSE:FDEV) has a Interest Coverage of 16.32 as of Nov. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Frontier Developments and its competitors. This is 100% below median its historical median of 5,020.73. Over the past decade, Frontier Developments' Interest Coverage has ranged from 2.59 to 10,000.00. According to the industry distribution chart, Frontier Developments ranks #217 out of 316 companies in the Interactive Media industry, placing it in the top 68.7%.
Is Frontier Developments' Interest Coverage too high?
Frontier Developments' current Interest Coverage of 16.32 is 100% below median its 10-year median of 5,020.73. Over the past 10 years, this metric has ranged from a low of 2.59 to a high of 10,000.00. The Interactive Media industry median Interest Coverage is 38.31. Frontier Developments' value of 16.32 is 57.4% below this industry median. Based on the distribution chart, Frontier Developments ranks #217 out of 316 companies in the Interactive Media industry, which is below the industry midpoint. Overall, Frontier Developments has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Frontier Developments' Interest Coverage compare to NTES and EA?
According to the Interactive Media industry distribution chart, Frontier Developments ranks #217 out of 316 companies for Interest Coverage. This places Frontier Developments in the lower half of its industry. The industry median Interest Coverage is 38.31. Frontier Developments' value of 16.32 is 57.4% below this benchmark. Historically, Frontier Developments' own Interest Coverage has ranged from 2.59 to 10,000.00 over the past decade. While the company's 10-year median is 5,020.73 vs. the industry median of 38.31, Frontier Developments 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 an Interactive Media company?
The median Interest Coverage among Interactive Media companies is 38.31, based on 316 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. Frontier Developments's current Interest Coverage of 16.32 is 57.4% 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 Frontier Developments and its competitors. For the Interactive Media industry, the median Interest Coverage is 38.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Frontier Developments's current Interest Coverage is 16.32, which is 100% below median its own 10-year median of 5,020.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Frontier Developments stock overvalued right now?
Based on GuruFocus' analysis, Frontier Developments (LSE:FDEV) is currently considered Significantly Overvalued. The stock's GF Value™ is £2.81, compared to a current price of £4.03 — trading 43.4% above its estimated fair value. The current Interest Coverage is 16.32, which is 100% below median its 10-year median of 5,020.73 and 57.4% below the Interactive Media industry median of 38.31. Frontier Developments' overall GF Score™ is 67/100 with 3 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 Frontier Developments (LSE:FDEV), the current Interest Coverage is 16.32 as of Nov. 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 Frontier Developments (LSE:FDEV) Overvalued in 2026?

Based on GuruFocus' analysis, Frontier Developments stock appears to be overvalued. The current stock price of £4.03 is trading 43.4% above its estimated GF Value™ of £2.81. GuruFocus considers Frontier Developments to be Significantly Overvalued.

Key valuation signals for LSE:FDEV:

  • Interest Coverage: 16.32 (100% below median its 10-year median of 5,020.73)
  • GF Value™: £2.81 vs. price of £4.03 (43.4% above fair value)
  • GF Score™: 67/100 with 3 warning signs
  • Industry Position: 57.4% below the Interactive Media median (#217 of 316)

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


Frontier Developments Business Description

Address Milton Road, 26 Science Park, Cambridge, GBR, CB4 0FP
Frontier Developments PLC is a United Kingdom-based company that develops and publishes video games for personal computers and consoles. The company is known for titles such as the Elite series, Planet Coaster, Planet Zoo, and Jurassic World Evolution. It operates through game development and publishing, using in-house technology to create and distribute interactive entertainment software. Frontier Developments has one operating segment, being revenue from publishing games and revenue from other streams such as royalties and licensing. The majority of revenue is generated from Publishing revenue.
67GF Score

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

£4.03
Price
£2.81
GF Value