Mechel PAO (MIC:MTLR) Interest Coverage: 2.80 (As of Jun. 2023)


MIC:MTLR Mechel PAO MIC:MTLR
17 GF Score
Price ₽36.18
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What is Mechel PAO Interest Coverage?

Mechel PAO MIC:MTLR +0.67% 17 Interest Coverage is 2.80 as of Jun. 2023. GuruFocus rates MIC:MTLR with a GF Score™ of 17/100.

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. Mechel PAO's Operating Income for the six months ended in Jun. 2023 was ₽33,059 Mil. Mechel PAO's Interest Expense for the six months ended in Jun. 2023 was ₽-11,794 Mil. Mechel PAO's interest coverage for the quarter that ended in Jun. 2023 was 2.80. The higher the ratio, the stronger the company's financial strength is.

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


MIC:MTLR's Interest Coverage is not ranked *
in the Steel industry.
Industry Median: 4.445
* Ranked among companies with meaningful Interest Coverage only.

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

Mechel PAO  (MIC:MTLR) 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 .

Mechel PAO Interest Coverage Related Terms

Mechel PAO Interest Coverage Historical Data

* Premium members only.

The historical data trend for Mechel PAO'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.

Mechel PAO Interest Coverage Chart

Mechel PAO Annual Data
Trend Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.51 1.61 1.12 1.03 4.88

Mechel PAO Semi-Annual Data
Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Jun23
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 1.61 4.00 5.78 4.45 2.80

MIC:MTLR vs NUE, STLD, RS: Interest Coverage Comparison

For the Steel subindustry, Mechel PAO'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.

Mechel PAO Interest Coverage vs Steel Industry

For the Steel industry and Basic Materials sector, Mechel PAO's Interest Coverage distribution charts can be found below:

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


MIC:MTLR
17GF Score
Mechel PAO MIC:MTLR
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Mechel PAO 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.

Mechel PAO's Interest Coverage for the fiscal year that ended in Dec. 2021 is calculated as

Here, for the fiscal year that ended in Dec. 2021, Mechel PAO's Interest Expense was ₽-21,518 Mil. Its Operating Income was ₽104,911 Mil. And its Long-Term Debt & Capital Lease Obligation was ₽3,986 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2021 )/Interest Expense (A: Dec. 2021 )
=-1*104911/-21518
=4.88

Mechel PAO's Interest Coverage for the quarter that ended in Jun. 2023 is calculated as

Here, for the six months ended in Jun. 2023, Mechel PAO's Interest Expense was ₽-11,794 Mil. Its Operating Income was ₽33,059 Mil. And its Long-Term Debt & Capital Lease Obligation was ₽12,777 Mil.

Interest Coverage=-1* Operating Income (Q: Jun. 2023 )/Interest Expense (Q: Jun. 2023 )
=-1*33059/-11794
=2.80

* 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 2.80 mean?
Mechel PAO (MIC:MTLR) has a Interest Coverage of 2.80 as of Jun. 2023. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Mechel PAO and its competitors.
Is Mechel PAO's Interest Coverage too high?
Mechel PAO's current Interest Coverage is 2.80. The Steel industry median Interest Coverage is 4.45. Mechel PAO's value of 2.80 is 37% below this industry median. Overall, Mechel PAO has a GF Score™ of 17/100, reflecting its overall financial health beyond just this single metric.
How does Mechel PAO's Interest Coverage compare to NUE and STLD?
Mechel PAO's Interest Coverage of 2.80 can be compared against companies in the Steel industry. The industry median Interest Coverage is 4.45. Mechel PAO's value of 2.80 is 37% below this benchmark. 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 Steel company?
The median Interest Coverage among Steel companies is 4.45, based on 456 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. Mechel PAO's current Interest Coverage of 2.80 is 37% 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 Mechel PAO and its competitors. For the Steel industry, the median Interest Coverage is 4.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Mechel PAO's current Interest Coverage is 2.80. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Mechel PAO stock overvalued right now?
Mechel PAO (MIC:MTLR) has a current Interest Coverage of 2.80. The current Interest Coverage is 2.80 and 37% below the Steel industry median of 4.45. Mechel PAO's overall GF Score™ is 17/100. 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 Mechel PAO (MIC:MTLR), the current Interest Coverage is 2.80 as of Jun. 2023. 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.

Mechel PAO Business Description

Address Krasnoarmeyskaya Street 1, Moscow, RUS, 125167
Mechel PAO is a vertically integrated group operating into three industrial segments Mining, Steel and Power. The mining segment produces metallurgical coal (coking coal, PCI and anthracite), steam coal, iron ore and iron ore concentrate, coke and chemical products. The segment consists of its coal, iron ore and coke production facilities in Russia. The steel segment produces and sells semi-finished steel products, long products of a wide range of steel grades, carbon and stainless flat steel products and high value-added metal products, including wire products, stampings and forgings, structural shapes, beams and rails. The power segment sells electricity and capacity to the wholesale market. The majority of the revenue is derived from the Steel segment.
17GF Score

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