Sharqiyah Desalination CompanyOG (MUS:SHRQ) Interest Coverage: 1.14 (As of Dec. 2025) — 50% Below Median


MUS:SHRQ Sharqiyah Desalination Company SAOG MUS:SHRQ
35 GF Score
Price ر.ع0.18
GF Value ر.ع0.12
Valuation Significantly Overvalued
! 13 Warning Signs
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What is Sharqiyah Desalination CompanyOG Interest Coverage?

Sharqiyah Desalination CompanyOG MUS:SHRQ 35 Interest Coverage is 1.14 as of Dec. 2025, which is 50% below its 10-year median of 2.26. GuruFocus rates MUS:SHRQ with a GF Score™ of 35/100 and a GF Value™ of ر.ع0.12 (Significantly Overvalued). The stock has 13 warning signs investors should review. Among 450 Utilities - Regulated companies, Sharqiyah Desalination CompanyOG ranks worse than 93.33% 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. Sharqiyah Desalination CompanyOG's Operating Income for the six months ended in Dec. 2025 was ر.ع2.86 Mil. Sharqiyah Desalination CompanyOG's Interest Expense for the six months ended in Dec. 2025 was ر.ع-2.50 Mil. Sharqiyah Desalination CompanyOG's interest coverage for the quarter that ended in Dec. 2025 was 1.14. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Sharqiyah Desalination Company SAOG interest coverage is 1.14, which is low.

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

MUS:SHRQ' s Interest Coverage Range Over the Past 10 Years
Min: 1.04   Med: 2.26   Max: 3.99
Current: 1.14


MUS:SHRQ's Interest Coverage is ranked worse than
93.33% of 450 companies
in the Utilities - Regulated industry
Industry Median: 3.8 vs MUS:SHRQ: 1.14

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


Sharqiyah Desalination CompanyOG  (MUS:SHRQ) 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 .


Sharqiyah Desalination CompanyOG Interest Coverage Related Terms


Sharqiyah Desalination CompanyOG Interest Coverage Historical Data

* Premium members only.

The historical data trend for Sharqiyah Desalination CompanyOG'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.

Sharqiyah Desalination CompanyOG Interest Coverage Chart

Sharqiyah Desalination CompanyOG Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.99 2.36 1.09 1.04 1.14

Sharqiyah Desalination CompanyOG Semi-Annual Data
Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 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 3.99 2.36 1.09 1.04 1.14

MUS:SHRQ vs AWK, WTRG, AWR: Interest Coverage Comparison

For the Utilities - Regulated Water subindustry, Sharqiyah Desalination CompanyOG'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.


Sharqiyah Desalination CompanyOG Interest Coverage vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Sharqiyah Desalination CompanyOG's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Sharqiyah Desalination CompanyOG's Interest Coverage falls into.


MUS:SHRQ
35GF Score
Sharqiyah Desalination Company SAOG MUS:SHRQ
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sharqiyah Desalination CompanyOG 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.

Sharqiyah Desalination CompanyOG'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, Sharqiyah Desalination CompanyOG's Interest Expense was ر.ع-2.50 Mil. Its Operating Income was ر.ع2.86 Mil. And its Long-Term Debt & Capital Lease Obligation was ر.ع30.34 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*2.857/-2.503
=1.14

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

Here, for the six months ended in Dec. 2025, Sharqiyah Desalination CompanyOG's Interest Expense was ر.ع-2.50 Mil. Its Operating Income was ر.ع2.86 Mil. And its Long-Term Debt & Capital Lease Obligation was ر.ع30.34 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*2.857/-2.503
=1.14

* 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 1.14 mean?
Sharqiyah Desalination CompanyOG (MUS:SHRQ) has a Interest Coverage of 1.14 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sharqiyah Desalination CompanyOG and its competitors. This is 50% below median its historical median of 2.26. Over the past decade, Sharqiyah Desalination CompanyOG's Interest Coverage has ranged from 1.04 to 3.99. According to the industry distribution chart, Sharqiyah Desalination CompanyOG ranks #420 out of 450 companies in the Utilities - Regulated industry, placing it in the top 93.3%.
Is Sharqiyah Desalination CompanyOG's Interest Coverage too high?
Sharqiyah Desalination CompanyOG's current Interest Coverage of 1.14 is 50% below median its 10-year median of 2.26. Over the past 10 years, this metric has ranged from a low of 1.04 to a high of 3.99. The Utilities - Regulated industry median Interest Coverage is 3.80. Sharqiyah Desalination CompanyOG's value of 1.14 is 70% below this industry median. Based on the distribution chart, Sharqiyah Desalination CompanyOG ranks #420 out of 450 companies in the Utilities - Regulated industry, which is in the bottom quartile relative to peers. Overall, Sharqiyah Desalination CompanyOG has a GF Score™ of 35/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sharqiyah Desalination CompanyOG's Interest Coverage compare to AWK and WTRG?
According to the Utilities - Regulated industry distribution chart, Sharqiyah Desalination CompanyOG ranks #420 out of 450 companies for Interest Coverage. This places Sharqiyah Desalination CompanyOG in the lower half of its industry. The industry median Interest Coverage is 3.80. Sharqiyah Desalination CompanyOG's value of 1.14 is 70% below this benchmark. Historically, Sharqiyah Desalination CompanyOG's own Interest Coverage has ranged from 1.04 to 3.99 over the past decade. While the company's 10-year median is 2.26 vs. the industry median of 3.80, Sharqiyah Desalination CompanyOG 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 Utilities - Regulated company?
The median Interest Coverage among Utilities - Regulated companies is 3.80, based on 450 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. Sharqiyah Desalination CompanyOG's current Interest Coverage of 1.14 is 70% 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 Sharqiyah Desalination CompanyOG and its competitors. For the Utilities - Regulated industry, the median Interest Coverage is 3.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sharqiyah Desalination CompanyOG's current Interest Coverage is 1.14, which is 50% below median its own 10-year median of 2.26. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sharqiyah Desalination CompanyOG stock overvalued right now?
Based on GuruFocus' analysis, Sharqiyah Desalination CompanyOG (MUS:SHRQ) is currently considered Significantly Overvalued. The stock's GF Value™ is ر.ع0.12, compared to a current price of ر.ع0.18 — trading 45.8% above its estimated fair value. The current Interest Coverage is 1.14, which is 50% below median its 10-year median of 2.26 and 70% below the Utilities - Regulated industry median of 3.80. Sharqiyah Desalination CompanyOG's overall GF Score™ is 35/100 with 13 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 Sharqiyah Desalination CompanyOG (MUS:SHRQ), the current Interest Coverage is 1.14 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 Sharqiyah Desalination CompanyOG (MUS:SHRQ) Overvalued in 2026?

Based on GuruFocus' analysis, Sharqiyah Desalination CompanyOG stock appears to be overvalued. The current stock price of ر.ع0.18 is trading 45.8% above its estimated GF Value™ of ر.ع0.12. GuruFocus considers Sharqiyah Desalination CompanyOG to be Significantly Overvalued.

Key valuation signals for MUS:SHRQ:

  • Interest Coverage: 1.14 (50% below median its 10-year median of 2.26)
  • GF Value™: ر.ع0.12 vs. price of ر.ع0.18 (45.8% above fair value)
  • GF Score™: 35/100 with 13 warning signs
  • Industry Position: 70% below the Utilities - Regulated median (#420 of 450)

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


Sharqiyah Desalination CompanyOG Business Description

Address Bait Mahmiyat Al Qurum Building, Office No. 2, Ground Floor, Near Mumtaz Mahal, Shatti Al Qurum, Muscat, OMN, 114
Sharqiyah Desalination Company SAOG acquires, develops, operates, and maintains a water desalination plant at Sur in the Sharqiyah region of the Sultanate of Oman, producing potable water under a build-own-operate model.
35GF Score

Get the complete analysis for MUS:SHRQ

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

ر.ع0.18
Price
ر.ع0.12
GF Value