Dhara Rail Projects (NSE:DHARARAIL) Interest Coverage: 18.49 (As of Sep. 2025) — 50% Below Median

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NSE:DHARARAIL Dhara Rail Projects Ltd NSE:DHARARAIL
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What is Dhara Rail Projects Interest Coverage?

Dhara Rail Projects NSE:DHARARAIL -4.13% 11 Interest Coverage is 18.49 as of Sep. 2025, which is 50% below its 10-year median of 36.99. GuruFocus rates NSE:DHARARAIL with a GF Score™ of 11/100. The stock has 3 warning signs investors should review. Among 841 Transportation companies, Dhara Rail Projects ranks better than 77.76% 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. Dhara Rail Projects's Operating Income for the six months ended in Sep. 2025 was ₹95.8 Mil. Dhara Rail Projects's Interest Expense for the six months ended in Sep. 2025 was ₹-5.2 Mil. Dhara Rail Projects's interest coverage for the quarter that ended in Sep. 2025 was 18.49. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Dhara Rail Projects's Interest Coverage or its related term are showing as below:

NSE:DHARARAIL' s Interest Coverage Range Over the Past 10 Years
Min: 12.55   Med: 36.99   Max: 40.57
Current: 18.49


NSE:DHARARAIL's Interest Coverage is ranked better than
77.76% of 841 companies
in the Transportation industry
Industry Median: 5.68 vs NSE:DHARARAIL: 18.49

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


Dhara Rail Projects  (NSE:DHARARAIL) 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 .


Dhara Rail Projects Interest Coverage Related Terms


Dhara Rail Projects Interest Coverage Historical Data

* Premium members only.

The historical data trend for Dhara Rail Projects'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.

Dhara Rail Projects Interest Coverage Chart

Dhara Rail Projects Annual Data
Trend Mar23 Mar24 Mar25
Interest Coverage
36.99 12.55 40.57

Dhara Rail Projects Semi-Annual Data
Mar23 Mar24 Mar25 Sep25
Interest Coverage No Debt No Debt No Debt 18.49

NSE:DHARARAIL vs UNP, CSX, NSC: Interest Coverage Comparison

For the Railroads subindustry, Dhara Rail Projects'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.


Dhara Rail Projects Interest Coverage vs Transportation Industry

For the Transportation industry and Industrials sector, Dhara Rail Projects's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Dhara Rail Projects's Interest Coverage falls into.


NSE:DHARARAIL
11GF Score
Dhara Rail Projects Ltd NSE:DHARARAIL
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Dhara Rail Projects 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.

Dhara Rail Projects'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, Dhara Rail Projects's Interest Expense was ₹-1.3 Mil. Its Operating Income was ₹52.4 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹0.0 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*52.417/-1.292
=40.57

Dhara Rail Projects's Interest Coverage for the quarter that ended in Sep. 2025 is calculated as

Here, for the six months ended in Sep. 2025, Dhara Rail Projects's Interest Expense was ₹-5.2 Mil. Its Operating Income was ₹95.8 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹0.0 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2025 )/Interest Expense (Q: Sep. 2025 )
=-1*95.773/-5.18
=18.49

* 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 18.49 mean?
Dhara Rail Projects (NSE:DHARARAIL) has a Interest Coverage of 18.49 as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Dhara Rail Projects and its competitors. This is 50% below median its historical median of 36.99. Over the past decade, Dhara Rail Projects' Interest Coverage has ranged from 12.55 to 40.57. According to the industry distribution chart, Dhara Rail Projects ranks #187 out of 841 companies in the Transportation industry, placing it in the top 22.2%.
Is Dhara Rail Projects' Interest Coverage too high?
Dhara Rail Projects' current Interest Coverage of 18.49 is 50% below median its 10-year median of 36.99. Over the past 10 years, this metric has ranged from a low of 12.55 to a high of 40.57. The Transportation industry median Interest Coverage is 5.68. Dhara Rail Projects' value of 18.49 is 225.5% above this industry median. Based on the distribution chart, Dhara Rail Projects ranks #187 out of 841 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, Dhara Rail Projects has a GF Score™ of 11/100, reflecting its overall financial health beyond just this single metric.
How does Dhara Rail Projects' Interest Coverage compare to UNP and CSX?
According to the Transportation industry distribution chart, Dhara Rail Projects ranks #187 out of 841 companies for Interest Coverage. This places Dhara Rail Projects in the top 22% of its industry — outperforming the majority of peers. The industry median Interest Coverage is 5.68. Dhara Rail Projects' value of 18.49 is 225.5% above this benchmark. Historically, Dhara Rail Projects' own Interest Coverage has ranged from 12.55 to 40.57 over the past decade. While the company's 10-year median is 36.99 vs. the industry median of 5.68, Dhara Rail Projects 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 a Transportation company?
The median Interest Coverage among Transportation companies is 5.68, based on 841 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. Dhara Rail Projects's current Interest Coverage of 18.49 is 225.5% 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 Dhara Rail Projects and its competitors. For the Transportation industry, the median Interest Coverage is 5.68 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Dhara Rail Projects's current Interest Coverage is 18.49, which is 50% below median its own 10-year median of 36.99. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Dhara Rail Projects stock overvalued right now?
Dhara Rail Projects (NSE:DHARARAIL) has a current Interest Coverage of 18.49. The current Interest Coverage is 18.49, which is 50% below median its 10-year median of 36.99 and 225.5% above the Transportation industry median of 5.68. Dhara Rail Projects' overall GF Score™ is 11/100 with 3 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 Dhara Rail Projects (NSE:DHARARAIL), the current Interest Coverage is 18.49 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.

Dhara Rail Projects Business Description

Address Mama Parmanand Marg, Opera House, 208, 2nd Floor, Plot-16, The Jewel Roxy Chambers, Girgaon, Mumbai, MH, IND, 400004
Dhara Rail Projects Ltd is engaged in the business of executing various types of contractual railway projects and related services which include Annual Maintenance Contracts (AMC) and repair services for a wide range of railway rolling stock systems. Its services include annual maintenance and repair of train lighting equipment across all rolling stock categories, along with annual maintenance and repair for Overhead Equipment (OHE) maintenance vehicles (Tower Wagons), Power Car equipment and HVAC systems. The company generates revenue in the form of contractual Income from Railways Projects.
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