Hays (LSE:HAS) Interest Coverage: 1.42 (As of Dec. 2025) — 94% Below Median


LSE:HAS Hays PLC LSE:HAS
40 GF Score
Price £0.34
GF Value £0.77
Valuation Possible Value Trap
! 9 Warning Signs
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What is Hays Interest Coverage?

Hays LSE:HAS +1.57% 40 Interest Coverage is 1.42 as of Dec. 2025, which is 94% below its 10-year median of 23.88. GuruFocus rates LSE:HAS with a GF Score™ of 40/100 and a GF Value™ of £0.77 (Possible Value Trap). The stock has 9 warning signs investors should review. Among 812 Business Services companies, Hays ranks worse than 80.42% 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. Hays's Operating Income for the six months ended in Dec. 2025 was £20 Mil. Hays's Interest Expense for the six months ended in Dec. 2025 was £-14 Mil. Hays's interest coverage for the quarter that ended in Dec. 2025 was 1.42. The higher the ratio, the stronger the company's financial strength is.

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

LSE:HAS' s Interest Coverage Range Over the Past 10 Years
Min: 2.69   Med: 23.88   Max: 84.23
Current: 2.69


LSE:HAS's Interest Coverage is ranked worse than
80.42% of 812 companies
in the Business Services industry
Industry Median: 12.98 vs LSE:HAS: 2.69

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


Hays  (LSE:HAS) 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 .


Hays Interest Coverage Related Terms


Hays Interest Coverage Historical Data

* Premium members only.

The historical data trend for Hays'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.

Hays Interest Coverage Chart

Hays 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 13.47 33.34 25.32 5.16 3.04

Hays Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
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 5.19 5.12 1.80 15.64 1.42

LSE:HAS vs KFY, RHI, TNET: Interest Coverage Comparison

For the Staffing & Employment Services subindustry, Hays'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.


Hays Interest Coverage vs Business Services Industry

For the Business Services industry and Industrials sector, Hays's Interest Coverage distribution charts can be found below:

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


LSE:HAS
40GF Score
Hays PLC LSE:HAS
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Hays 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.

Hays'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, Hays's Interest Expense was £-16 Mil. Its Operating Income was £47 Mil. And its Long-Term Debt & Capital Lease Obligation was £236 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*47.4/-15.6
=3.04

Hays's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Hays's Interest Expense was £-14 Mil. Its Operating Income was £20 Mil. And its Long-Term Debt & Capital Lease Obligation was £236 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*20.1/-14.2
=1.42

* 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 1.42 mean?
Hays (LSE:HAS) has a Interest Coverage of 1.42 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Hays and its competitors. This is 94% below median its historical median of 23.88. Over the past decade, Hays' Interest Coverage has ranged from 2.69 to 84.23. According to the industry distribution chart, Hays ranks #653 out of 812 companies in the Business Services industry, placing it in the top 80.4%.
Is Hays' Interest Coverage too high?
Hays' current Interest Coverage of 1.42 is 94% below median its 10-year median of 23.88. Over the past 10 years, this metric has ranged from a low of 2.69 to a high of 84.23. The Business Services industry median Interest Coverage is 12.98. Hays' value of 1.42 is 89.1% below this industry median. Based on the distribution chart, Hays ranks #653 out of 812 companies in the Business Services industry, which is in the bottom quartile relative to peers. Overall, Hays has a GF Score™ of 40/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Hays' Interest Coverage compare to KFY and RHI?
According to the Business Services industry distribution chart, Hays ranks #653 out of 812 companies for Interest Coverage. This places Hays in the lower half of its industry. The industry median Interest Coverage is 12.98. Hays' value of 1.42 is 89.1% below this benchmark. Historically, Hays' own Interest Coverage has ranged from 2.69 to 84.23 over the past decade. While the company's 10-year median is 23.88 vs. the industry median of 12.98, Hays 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 Business Services company?
The median Interest Coverage among Business Services companies is 12.98, based on 812 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. Hays's current Interest Coverage of 1.42 is 89.1% 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 Hays and its competitors. For the Business Services industry, the median Interest Coverage is 12.98 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Hays's current Interest Coverage is 1.42, which is 94% below median its own 10-year median of 23.88. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Hays stock overvalued right now?
Based on GuruFocus' analysis, Hays (LSE:HAS) is currently considered Possible Value Trap. The stock's GF Value™ is £0.77, compared to a current price of £0.34 — trading 56.4% below its estimated fair value. The current Interest Coverage is 1.42, which is 94% below median its 10-year median of 23.88 and 89.1% below the Business Services industry median of 12.98. Hays' overall GF Score™ is 40/100 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 Hays (LSE:HAS), the current Interest Coverage is 1.42 as of Dec. 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 Hays (LSE:HAS) Overvalued in 2026?

Based on GuruFocus' analysis, Hays stock appears to be undervalued. The current stock price of £0.34 is trading 56.4% below its estimated GF Value™ of £0.77. GuruFocus considers Hays to be Possible Value Trap.

Key valuation signals for LSE:HAS:

  • Interest Coverage: 1.42 (94% below median its 10-year median of 23.88)
  • GF Value™: £0.77 vs. price of £0.34 (56.4% below fair value)
  • GF Score™: 40/100 with 9 warning signs
  • Industry Position: 89.1% below the Business Services median (#653 of 812)

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


Hays Business Description

Other Exchanges HAYPY:USAHASl:UKHAY:Germany
Address 107 Cheapside, 4th Floor, London, GBR, EC2V 6DN
Hays PLC is a recruitment company, providing staffing solutions across various sectors, including information technology, construction, finance, education, and healthcare. The company generates revenue prominently through fees for placing candidates in permanent, temporary, and contract roles. It also offers workforce solutions such as recruitment process outsourcing, managed service programs, and advisory services. Hays operates its business in four regions: Germany, the United Kingdom & Ireland, Australia & New Zealand, and the Rest of the World. Its business model focuses on matching skilled professionals with employer needs through a network of recruitment consultants and digital platforms, without owning physical labor assets.
40GF Score

Get the complete analysis for LSE:HAS

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

£0.34
Price
£0.77
GF Value