The Kenya Power & Lighting Co (NAI:KPLC) Interest Coverage: 8.79 (As of Dec. 2025) — 436% Above Median


NAI:KPLC The Kenya Power & Lighting Co PLC NAI:KPLC
64 GF Score
Price KES17.30
GF Value KES2.40
Valuation Significantly Overvalued
! 7 Warning Signs
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What is The Kenya Power & Lighting Co Interest Coverage?

The Kenya Power & Lighting Co NAI:KPLC -0.29% 64 Interest Coverage is 8.79 as of Dec. 2025, which is 436% above its 10-year median of 1.64. GuruFocus rates NAI:KPLC with a GF Score™ of 64/100 and a GF Value™ of KES2.40 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 447 Utilities - Regulated companies, The Kenya Power & Lighting Co ranks better than 75.62% 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. The Kenya Power & Lighting Co's Operating Income for the six months ended in Dec. 2025 was KES13,006 Mil. The Kenya Power & Lighting Co's Interest Expense for the six months ended in Dec. 2025 was KES-1,479 Mil. The Kenya Power & Lighting Co's interest coverage for the quarter that ended in Dec. 2025 was 8.79. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for The Kenya Power & Lighting Co's Interest Coverage or its related term are showing as below:

NAI:KPLC' s Interest Coverage Range Over the Past 10 Years
Min: 0.32   Med: 1.64   Max: 9.85
Current: 9.85


NAI:KPLC's Interest Coverage is ranked better than
75.62% of 447 companies
in the Utilities - Regulated industry
Industry Median: 3.78 vs NAI:KPLC: 9.85

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


The Kenya Power & Lighting Co  (NAI:KPLC) 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 .


The Kenya Power & Lighting Co Interest Coverage Related Terms


The Kenya Power & Lighting Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for The Kenya Power & Lighting Co'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.

The Kenya Power & Lighting Co Interest Coverage Chart

The Kenya Power & Lighting Co 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 1.68 0.77 1.59 4.90 8.43

The Kenya Power & Lighting Co Semi-Annual Data
Jun13 Jun14 Jun15 Jun16 Jun17 Jun18 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 0.72 0.00 6.25 10.65 8.79

NAI:KPLC vs NEE, SO, DUK: Interest Coverage Comparison

For the Utilities - Regulated Electric subindustry, The Kenya Power & Lighting Co'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.


The Kenya Power & Lighting Co Interest Coverage vs Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, The Kenya Power & Lighting Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where The Kenya Power & Lighting Co's Interest Coverage falls into.


NAI:KPLC
64GF Score
The Kenya Power & Lighting Co PLC NAI:KPLC
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

The Kenya Power & Lighting Co 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.

The Kenya Power & Lighting Co'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, The Kenya Power & Lighting Co's Interest Expense was KES-3,910 Mil. Its Operating Income was KES32,968 Mil. And its Long-Term Debt & Capital Lease Obligation was KES70,490 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*32968.41/-3910.42
=8.43

The Kenya Power & Lighting Co's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, The Kenya Power & Lighting Co's Interest Expense was KES-1,479 Mil. Its Operating Income was KES13,006 Mil. And its Long-Term Debt & Capital Lease Obligation was KES0 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*13006/-1479
=8.79

* 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 8.79 mean?
The Kenya Power & Lighting Co (NAI:KPLC) has a Interest Coverage of 8.79 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on The Kenya Power & Lighting Co and its competitors. This is 436% above median its historical median of 1.64. Over the past decade, The Kenya Power & Lighting Co's Interest Coverage has ranged from 0.32 to 9.85. According to the industry distribution chart, The Kenya Power & Lighting Co ranks #109 out of 447 companies in the Utilities - Regulated industry, placing it in the top 24.4%.
Is The Kenya Power & Lighting Co's Interest Coverage too high?
The Kenya Power & Lighting Co's current Interest Coverage of 8.79 is 436% above median its 10-year median of 1.64. Over the past 10 years, this metric has ranged from a low of 0.32 to a high of 9.85. The Utilities - Regulated industry median Interest Coverage is 3.78. The Kenya Power & Lighting Co's value of 8.79 is 132.5% above this industry median. Based on the distribution chart, The Kenya Power & Lighting Co ranks #109 out of 447 companies in the Utilities - Regulated industry, which is in the top quartile — a strong position relative to peers. Overall, The Kenya Power & Lighting Co has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The Kenya Power & Lighting Co's Interest Coverage compare to NEE and SO?
According to the Utilities - Regulated industry distribution chart, The Kenya Power & Lighting Co ranks #109 out of 447 companies for Interest Coverage. This places The Kenya Power & Lighting Co in the top 24% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 3.78. The Kenya Power & Lighting Co's value of 8.79 is 132.5% above this benchmark. Historically, The Kenya Power & Lighting Co's own Interest Coverage has ranged from 0.32 to 9.85 over the past decade. While the company's 10-year median is 1.64 vs. the industry median of 3.78, The Kenya Power & Lighting Co 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 Utilities - Regulated company?
The median Interest Coverage among Utilities - Regulated companies is 3.78, based on 447 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. The Kenya Power & Lighting Co's current Interest Coverage of 8.79 is 132.5% 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 The Kenya Power & Lighting Co and its competitors. For the Utilities - Regulated industry, the median Interest Coverage is 3.78 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Kenya Power & Lighting Co's current Interest Coverage is 8.79, which is 436% above median its own 10-year median of 1.64. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Kenya Power & Lighting Co stock overvalued right now?
Based on GuruFocus' analysis, The Kenya Power & Lighting Co (NAI:KPLC) is currently considered Significantly Overvalued. The stock's GF Value™ is KES2.40, compared to a current price of KES17.30 — trading 620.8% above its estimated fair value. The current Interest Coverage is 8.79, which is 436% above median its 10-year median of 1.64 and 132.5% above the Utilities - Regulated industry median of 3.78. The Kenya Power & Lighting Co's overall GF Score™ is 64/100 with 7 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 The Kenya Power & Lighting Co (NAI:KPLC), the current Interest Coverage is 8.79 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 The Kenya Power & Lighting Co (NAI:KPLC) Overvalued in 2026?

Based on GuruFocus' analysis, The Kenya Power & Lighting Co stock appears to be overvalued. The current stock price of KES17.30 is trading 620.8% above its estimated GF Value™ of KES2.40. GuruFocus considers The Kenya Power & Lighting Co to be Significantly Overvalued.

Key valuation signals for NAI:KPLC:

  • Interest Coverage: 8.79 (436% above median its 10-year median of 1.64)
  • GF Value™: KES2.40 vs. price of KES17.30 (620.8% above fair value)
  • GF Score™: 64/100 with 7 warning signs
  • Industry Position: 132.5% above the Utilities - Regulated median (#109 of 447)

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


The Kenya Power & Lighting Co Business Description

Address Kolobot Road, Parklands, Stima Plaza, Po Box 30099, Nairobi, KEN, 00100
The Kenya Power & Lighting Co PLC is an electric power distribution company. The core business of the company includes transmission, distribution, and retail of electricity throughout Kenya. The company's business is organized by regions comprising Nairobi, Mount Kenya, Coast, and West Kenya. The firm also owns and operates an electricity transmission and distribution system in Kenya. The majority of the company's revenue is derived from the Nairobi region.
64GF Score

Get the complete analysis for NAI:KPLC

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

KES17.30
Price
KES2.40
GF Value