Ithaca Energy (LSE:ITH) Interest Coverage: 7.39 (As of Dec. 2025) — 11% Above Median


LSE:ITH Ithaca Energy PLC LSE:ITH
52 GF Score
Price £2.18
GF Value £0.01
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Ithaca Energy Interest Coverage?

Ithaca Energy LSE:ITH -3.28% 52 Interest Coverage is 7.39 as of Dec. 2025, which is 11% above its 10-year median of 6.64. GuruFocus rates LSE:ITH with a GF Score™ of 52/100 and a GF Value™ of £0.01 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 728 Oil & Gas companies, Ithaca Energy ranks better than 52.47% 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. Ithaca Energy's Operating Income for the three months ended in Dec. 2025 was £201 Mil. Ithaca Energy's Interest Expense for the three months ended in Dec. 2025 was £-27 Mil. Ithaca Energy's interest coverage for the quarter that ended in Dec. 2025 was 7.39. The higher the ratio, the stronger the company's financial strength is.

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

LSE:ITH' s Interest Coverage Range Over the Past 10 Years
Min: 0.86   Med: 6.64   Max: 8.29
Current: 6.6


LSE:ITH's Interest Coverage is ranked better than
52.47% of 728 companies
in the Oil & Gas industry
Industry Median: 5.885 vs LSE:ITH: 6.60

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


Ithaca Energy  (LSE:ITH) 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 .


Ithaca Energy Interest Coverage Related Terms


Ithaca Energy Interest Coverage Historical Data

* Premium members only.

The historical data trend for Ithaca Energy'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.

Ithaca Energy Interest Coverage Chart

Ithaca Energy Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial 3.01 8.04 8.11 6.64 8.29

Ithaca Energy Quarterly Data
Dec19 Dec20 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 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 10.67 6.60 6.58 5.74 7.39

LSE:ITH vs COP, EOG, OXY: Interest Coverage Comparison

For the Oil & Gas E&P subindustry, Ithaca Energy'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.


Ithaca Energy Interest Coverage vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Ithaca Energy's Interest Coverage distribution charts can be found below:

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


LSE:ITH
52GF Score
Ithaca Energy PLC LSE:ITH
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Ithaca Energy 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.

Ithaca Energy'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, Ithaca Energy's Interest Expense was £-96 Mil. Its Operating Income was £793 Mil. And its Long-Term Debt & Capital Lease Obligation was £1,091 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*792.567/-95.616
=8.29

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

Here, for the three months ended in Dec. 2025, Ithaca Energy's Interest Expense was £-27 Mil. Its Operating Income was £201 Mil. And its Long-Term Debt & Capital Lease Obligation was £1,091 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*201.391/-27.265
=7.39

* 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 7.39 mean?
Ithaca Energy (LSE:ITH) has a Interest Coverage of 7.39 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ithaca Energy and its competitors. This is 11% above median its historical median of 6.64. Over the past decade, Ithaca Energy's Interest Coverage has ranged from 0.86 to 8.29. According to the industry distribution chart, Ithaca Energy ranks #346 out of 728 companies in the Oil & Gas industry, placing it in the top 47.5%.
Is Ithaca Energy's Interest Coverage too high?
Ithaca Energy's current Interest Coverage of 7.39 is 11% above median its 10-year median of 6.64. Over the past 10 years, this metric has ranged from a low of 0.86 to a high of 8.29. The Oil & Gas industry median Interest Coverage is 5.89. Ithaca Energy's value of 7.39 is 25.6% above this industry median. Based on the distribution chart, Ithaca Energy ranks #346 out of 728 companies in the Oil & Gas industry, which is above the industry midpoint. Overall, Ithaca Energy has a GF Score™ of 52/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Ithaca Energy's Interest Coverage compare to COP and EOG?
According to the Oil & Gas industry distribution chart, Ithaca Energy ranks #346 out of 728 companies for Interest Coverage. This puts Ithaca Energy in the upper half of its industry. The industry median Interest Coverage is 5.89. Ithaca Energy's value of 7.39 is 25.6% above this benchmark. Historically, Ithaca Energy's own Interest Coverage has ranged from 0.86 to 8.29 over the past decade. While the company's 10-year median is 6.64 vs. the industry median of 5.89, Ithaca Energy 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 Oil & Gas company?
The median Interest Coverage among Oil & Gas companies is 5.89, based on 728 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. Ithaca Energy's current Interest Coverage of 7.39 is 25.6% 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 Ithaca Energy and its competitors. For the Oil & Gas industry, the median Interest Coverage is 5.89 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ithaca Energy's current Interest Coverage is 7.39, which is 11% above median its own 10-year median of 6.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ithaca Energy stock overvalued right now?
Based on GuruFocus' analysis, Ithaca Energy (LSE:ITH) is currently considered Significantly Overvalued. The stock's GF Value™ is £0.01, compared to a current price of £2.18 — trading 21740% above its estimated fair value. The current Interest Coverage is 7.39, which is 11% above median its 10-year median of 6.64 and 25.6% above the Oil & Gas industry median of 5.89. Ithaca Energy's overall GF Score™ is 52/100 with 5 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 Ithaca Energy (LSE:ITH), the current Interest Coverage is 7.39 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 Ithaca Energy (LSE:ITH) Overvalued in 2026?

Based on GuruFocus' analysis, Ithaca Energy stock appears to be overvalued. The current stock price of £2.18 is trading 21740% above its estimated GF Value™ of £0.01. GuruFocus considers Ithaca Energy to be Significantly Overvalued.

Key valuation signals for LSE:ITH:

  • Interest Coverage: 7.39 (11% above median its 10-year median of 6.64)
  • GF Value™: £0.01 vs. price of £2.18 (21740% above fair value)
  • GF Score™: 52/100 with 5 warning signs
  • Industry Position: 25.6% above the Oil & Gas median (#346 of 728)

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


Ithaca Energy Business Description

Industry EnergyOil & Gas
Other Exchanges ITHl:UKXE3:Germany
Address 33 Cavendish Square, London, GBR, W1G 0PP
Ithaca Energy PLC is engaged in the production and development of oil and gas properties. The company's assets are located in the Northern and Central North Sea, West of Shetland, and Moray Firth areas of the UK Continental Shelf. It generates the majority of its revenue from Oil sales. The Group operates a single class of business being oil and gas exploration, development and production and related activities. It also operates in a single geographical area, being the North Sea.
52GF Score

Get the complete analysis for LSE:ITH

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

£2.18
Price
£0.01
GF Value