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. Andhra Cements's
Operating Income
for the
three
months ended in Mar. 2026 was ₹-183 Mil. Andhra Cements's Interest Expense for the
three
months ended in Mar. 2026 was ₹-302 Mil.
did not have earnings to cover the interest expense.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for Andhra Cements's Interest Coverage or its related term are showing as below:
NSE:ACL's Interest Coverage is not ranked *
in the Building Materials industry.
Industry Median: 6.63 * Ranked among companies with meaningful Interest Coverage only.
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 .
Andhra Cements Interest Coverage Related Terms
Andhra Cements Interest Coverage Historical Data
* Premium members only.
The historical data trend for Andhra Cements'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.
NSE:ACL vs CRH, VMC, MLM: Interest Coverage Comparison
For the Building Materials subindustry, Andhra Cements'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.
Andhra Cements Interest Coverage vs Building Materials Industry
For the Building Materials industry and Basic Materials sector, Andhra Cements's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Andhra Cements's Interest Coverage falls into.
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:
Andhra Cements did not have earnings to cover the interest expense.
* 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.
What does a Interest Coverage of 0 (At Loss) mean?
Andhra Cements (NSE:ACL) has a Interest Coverage of 0 (At Loss) as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Andhra Cements and its competitors. According to the industry distribution chart, Andhra Cements ranks #999999 out of 307 companies in the Building Materials industry.
Is Andhra Cements' Interest Coverage too high?
Andhra Cements' current Interest Coverage is 0 (At Loss). Based on the distribution chart, Andhra Cements ranks #999999 out of 307 companies in the Building Materials industry, which is in the bottom quartile relative to peers. Overall, Andhra Cements has a GF Score™ of 39/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Andhra Cements' Interest Coverage compare to CRH and VMC?
According to the Building Materials industry distribution chart, Andhra Cements ranks #999999 out of 307 companies for Interest Coverage. This places Andhra Cements in the lower half of its industry. The industry median Interest Coverage is 6.63. 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 Building Materials company?
The median Interest Coverage among Building Materials companies is 6.63, based on 307 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. 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 Andhra Cements and its competitors. For the Building Materials industry, the median Interest Coverage is 6.63 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Andhra Cements's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Andhra Cements stock overvalued right now?
Based on GuruFocus' analysis, Andhra Cements (NSE:ACL) is currently considered Possible Value Trap. The stock's GF Value™ is ₹118.80, compared to a current price of ₹52.34 — trading 55.9% below its estimated fair value. The current Interest Coverage is 0 (At Loss). Andhra Cements' overall GF Score™ is 39/100 with 2 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 Andhra Cements (NSE:ACL), the current Interest Coverage is 0 (At Loss) as of Mar. 2026. 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 Andhra Cements (NSE:ACL) Overvalued in 2026?
Based on GuruFocus' analysis, Andhra Cements stock appears to be undervalued.
The current stock price of ₹52.34 is trading 55.9% below its estimated GF Value™ of ₹118.80.
GuruFocus considers Andhra Cements to be Possible Value Trap.
Key valuation signals for NSE:ACL:
Interest Coverage: 0 (At Loss)
GF Value™: ₹118.80 vs. price of ₹52.34 (55.9% below fair value)
No single metric tells the full story. See the NSE:ACL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Andhra Cements Ltd is engaged in the business of manufacture and sale of cement. The company has single reportable segment manufacturing and selling cement.
39GF Score
Get the complete analysis for NSE:ACL
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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