Danish Power (NSE:DANISH) Interest Coverage: 38.72 (As of Mar. 2025) — 70% Above Median


NSE:DANISH Danish Power Ltd NSE:DANISH
21 GF Score
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! 6 Warning Signs
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What is Danish Power Interest Coverage?

Danish Power NSE:DANISH +0.66% 21 Interest Coverage is 38.72 as of Mar. 2025, which is 70% above its 10-year median of 22.73. GuruFocus rates NSE:DANISH with a GF Score™ of 21/100. The stock has 6 warning signs investors should review. Among 2,325 Industrial Products companies, Danish Power ranks better than 68.09% 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. Danish Power's Operating Income for the six months ended in Mar. 2025 was ₹779 Mil. Danish Power's Interest Expense for the six months ended in Mar. 2025 was ₹-20 Mil. Danish Power's interest coverage for the quarter that ended in Mar. 2025 was 38.72. The higher the ratio, the stronger the company's financial strength is.

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

NSE:DANISH' s Interest Coverage Range Over the Past 10 Years
Min: 4.31   Med: 22.73   Max: 38.72
Current: 38.72


NSE:DANISH's Interest Coverage is ranked better than
68.09% of 2325 companies
in the Industrial Products industry
Industry Median: 14.8 vs NSE:DANISH: 38.72

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


Danish Power  (NSE:DANISH) 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 .


Danish Power Interest Coverage Related Terms


Danish Power Interest Coverage Historical Data

* Premium members only.

The historical data trend for Danish Power'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.

Danish Power Interest Coverage Chart

Danish Power Annual Data
Trend Mar22 Mar23 Mar24 Mar25
Interest Coverage
4.31 8.06 37.39 38.72

Danish Power Semi-Annual Data
Mar22 Mar23 Mar24 Mar25
Interest Coverage 4.31 8.06 37.39 38.72

NSE:DANISH vs VRT, BE: Interest Coverage Comparison

For the Electrical Equipment & Parts subindustry, Danish Power'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.


Danish Power Interest Coverage vs Industrial Products Industry

For the Industrial Products industry and Industrials sector, Danish Power's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Danish Power's Interest Coverage falls into.


NSE:DANISH
21GF Score
Danish Power Ltd NSE:DANISH
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Danish Power 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.

Danish Power'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, Danish Power's Interest Expense was ₹-20 Mil. Its Operating Income was ₹779 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹20 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*779.385/-20.127
=38.72

Danish Power's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the six months ended in Mar. 2025, Danish Power's Interest Expense was ₹-20 Mil. Its Operating Income was ₹779 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹20 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*779.385/-20.127
=38.72

* 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 38.72 mean?
Danish Power (NSE:DANISH) has a Interest Coverage of 38.72 as of Mar. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Danish Power and its competitors. This is 70% above median its historical median of 22.73. Over the past decade, Danish Power's Interest Coverage has ranged from 4.31 to 38.72. According to the industry distribution chart, Danish Power ranks #742 out of 2325 companies in the Industrial Products industry, placing it in the top 31.9%.
Is Danish Power's Interest Coverage too high?
Danish Power's current Interest Coverage of 38.72 is 70% above median its 10-year median of 22.73. Over the past 10 years, this metric has ranged from a low of 4.31 to a high of 38.72. The Industrial Products industry median Interest Coverage is 14.80. Danish Power's value of 38.72 is 161.6% above this industry median. Based on the distribution chart, Danish Power ranks #742 out of 2325 companies in the Industrial Products industry, which is above the industry midpoint. Overall, Danish Power has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does Danish Power's Interest Coverage compare to VRT and BE?
According to the Industrial Products industry distribution chart, Danish Power ranks #742 out of 2325 companies for Interest Coverage. This puts Danish Power in the upper half of its industry. The industry median Interest Coverage is 14.80. Danish Power's value of 38.72 is 161.6% above this benchmark. Historically, Danish Power's own Interest Coverage has ranged from 4.31 to 38.72 over the past decade. While the company's 10-year median is 22.73 vs. the industry median of 14.80, Danish Power 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 Industrial Products company?
The median Interest Coverage among Industrial Products companies is 14.80, based on 2,325 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. Danish Power's current Interest Coverage of 38.72 is 161.6% 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 Danish Power and its competitors. For the Industrial Products industry, the median Interest Coverage is 14.80 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Danish Power's current Interest Coverage is 38.72, which is 70% above median its own 10-year median of 22.73. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Danish Power stock overvalued right now?
Danish Power (NSE:DANISH) has a current Interest Coverage of 38.72. The current Interest Coverage is 38.72, which is 70% above median its 10-year median of 22.73 and 161.6% above the Industrial Products industry median of 14.80. Danish Power's overall GF Score™ is 21/100 with 6 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 Danish Power (NSE:DANISH), the current Interest Coverage is 38.72 as of Mar. 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.

Danish Power Business Description

Address Sitapura Industrial Area, F-679, 680 & G-694, Jaipur, RJ, IND, 302022
Danish Power Ltd is a manufacturer of power equipment specializing in transformers, panels, automation, and substations, serving both Indian and international markets. The company operates through two business segments: Transformers and Panels, with the Transformers segment accounting for the majority of its revenue. Its product portfolio includes power transformers up to 100 MVA 245 kV, distribution transformers up to 5 MVA 33 kV, dry-type cast resin transformers, inverter duty and wind turbine generator transformers, special application transformers, control relay panels with substation automation (up to 400 kV), compact and pad-mounted substations, and traction transformers. The company derives the majority of its revenue from the domestic market.
21GF Score

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