Ahlada Engineers (NSE:AHLADA) Interest Coverage: 1.68 (As of Sep. 2025) — 56% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

NSE:AHLADA Ahlada Engineers Ltd NSE:AHLADA
78 GF Score
Price ₹36.40
GF Value ₹61.66
Valuation Significantly Undervalued
! 7 Warning Signs
View Full Analysis

What is Ahlada Engineers Interest Coverage?

Ahlada Engineers NSE:AHLADA -1.14% 78 Interest Coverage is 1.68 as of Sep. 2025, which is 56% below its 10-year median of 3.86. GuruFocus rates NSE:AHLADA with a GF Score™ of 78/100 and a GF Value™ of ₹61.66 (Significantly Undervalued). The stock has 7 warning signs investors should review. Among 1,363 Construction companies, Ahlada Engineers ranks worse than 84.45% 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. Ahlada Engineers's Operating Income for the six months ended in Sep. 2025 was ₹36 Mil. Ahlada Engineers's Interest Expense for the six months ended in Sep. 2025 was ₹-22 Mil. Ahlada Engineers's interest coverage for the quarter that ended in Sep. 2025 was 1.68. The higher the ratio, the stronger the company's financial strength is.

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

NSE:AHLADA' s Interest Coverage Range Over the Past 10 Years
Min: 1.75   Med: 3.86   Max: 50.81
Current: 1.75


NSE:AHLADA's Interest Coverage is ranked worse than
84.45% of 1363 companies
in the Construction industry
Industry Median: 8.02 vs NSE:AHLADA: 1.75

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


Ahlada Engineers  (NSE:AHLADA) 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 .


Ahlada Engineers Interest Coverage Related Terms


Ahlada Engineers Interest Coverage Historical Data

* Premium members only.

The historical data trend for Ahlada Engineers'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.

Ahlada Engineers Interest Coverage Chart

Ahlada Engineers Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.17 3.23 3.72 5.70 2.06

Ahlada Engineers Semi-Annual Data
Mar14 Mar15 Mar16 Mar17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
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 3.75 7.73 2.24 1.82 1.68

NSE:AHLADA vs TT, JCI, CARR: Interest Coverage Comparison

For the Building Products & Equipment subindustry, Ahlada Engineers'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.


Ahlada Engineers Interest Coverage vs Construction Industry

For the Construction industry and Industrials sector, Ahlada Engineers's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Ahlada Engineers's Interest Coverage falls into.


NSE:AHLADA
78GF Score
Ahlada Engineers Ltd NSE:AHLADA
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Ahlada Engineers 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.

Ahlada Engineers's Interest Coverage for the fiscal year that ended in Mar. 2025 is calculated as

Here, for the fiscal year that ended in Mar. 2025, Ahlada Engineers's Interest Expense was ₹-46 Mil. Its Operating Income was ₹94 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹14 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*94.459/-45.827
=2.06

Ahlada Engineers's Interest Coverage for the quarter that ended in Sep. 2025 is calculated as

Here, for the six months ended in Sep. 2025, Ahlada Engineers's Interest Expense was ₹-22 Mil. Its Operating Income was ₹36 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹11 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2025 )/Interest Expense (Q: Sep. 2025 )
=-1*36.202/-21.531
=1.68

* 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 1.68 mean?
Ahlada Engineers (NSE:AHLADA) has a Interest Coverage of 1.68 as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Ahlada Engineers and its competitors. This is 56% below median its historical median of 3.86. Over the past decade, Ahlada Engineers' Interest Coverage has ranged from 1.75 to 50.81. According to the industry distribution chart, Ahlada Engineers ranks #1151 out of 1363 companies in the Construction industry, placing it in the top 84.4%.
Is Ahlada Engineers' Interest Coverage too high?
Ahlada Engineers' current Interest Coverage of 1.68 is 56% below median its 10-year median of 3.86. Over the past 10 years, this metric has ranged from a low of 1.75 to a high of 50.81. The Construction industry median Interest Coverage is 8.02. Ahlada Engineers' value of 1.68 is 79.1% below this industry median. Based on the distribution chart, Ahlada Engineers ranks #1151 out of 1363 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Ahlada Engineers has a GF Score™ of 78/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Ahlada Engineers' Interest Coverage compare to TT and JCI?
According to the Construction industry distribution chart, Ahlada Engineers ranks #1151 out of 1363 companies for Interest Coverage. This places Ahlada Engineers in the lower half of its industry. The industry median Interest Coverage is 8.02. Ahlada Engineers' value of 1.68 is 79.1% below this benchmark. Historically, Ahlada Engineers' own Interest Coverage has ranged from 1.75 to 50.81 over the past decade. While the company's 10-year median is 3.86 vs. the industry median of 8.02, Ahlada Engineers 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 a Construction company?
The median Interest Coverage among Construction companies is 8.02, based on 1,363 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. Ahlada Engineers's current Interest Coverage of 1.68 is 79.1% 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 Ahlada Engineers and its competitors. For the Construction industry, the median Interest Coverage is 8.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Ahlada Engineers's current Interest Coverage is 1.68, which is 56% below median its own 10-year median of 3.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Ahlada Engineers stock overvalued right now?
Based on GuruFocus' analysis, Ahlada Engineers (NSE:AHLADA) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹61.66, compared to a current price of ₹36.40 — trading 41% below its estimated fair value. The current Interest Coverage is 1.68, which is 56% below median its 10-year median of 3.86 and 79.1% below the Construction industry median of 8.02. Ahlada Engineers' overall GF Score™ is 78/100 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 Ahlada Engineers (NSE:AHLADA), the current Interest Coverage is 1.68 as of Sep. 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 Ahlada Engineers (NSE:AHLADA) Overvalued in 2026?

Based on GuruFocus' analysis, Ahlada Engineers stock appears to be undervalued. The current stock price of ₹36.40 is trading 41% below its estimated GF Value™ of ₹61.66. GuruFocus considers Ahlada Engineers to be Significantly Undervalued.

Key valuation signals for NSE:AHLADA:

  • Interest Coverage: 1.68 (56% below median its 10-year median of 3.86)
  • GF Value™: ₹61.66 vs. price of ₹36.40 (41% below fair value)
  • GF Score™: 78/100 with 7 warning signs
  • Industry Position: 79.1% below the Construction median (#1151 of 1363)

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


Ahlada Engineers Business Description

Address Tech Mahindra Road, Door No 4-56, Survey No. 62/1/A & 67, Dundigal Gandimaisamma Mandal, Medchal-Malkajgiri District, Bahadurpally, Hyderabad, TG, IND, 500043
Ahlada Engineers Ltd is engaged in the manufacturing of residential and commercial steel doors and windows in India. Its product offerings include residential steel doors, shutters, panels, residential steel windows, commercial steel doors, drinking water systems, school furniture, and allied products. The company's sole operating segment is Steel Products, and the sole geographical segment is India.
78GF Score

Get the complete analysis for NSE:AHLADA

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

₹36.40
Price
₹61.66
GF Value