The Fertilizers & Chemicals Travancore (NSE:FACT) Interest Coverage : 0.47 (As of Sep. 2024)

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What is The Fertilizers & Chemicals Travancore Interest Coverage?

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 Fertilizers & Chemicals Travancore's Operating Income for the three months ended in Sep. 2024 was ₹286 Mil. The Fertilizers & Chemicals Travancore's Interest Expense for the three months ended in Sep. 2024 was ₹-614 Mil. The Fertilizers & Chemicals Travancore's interest coverage for the quarter that ended in Sep. 2024 was 0.47. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for The Fertilizers & Chemicals Travancore's Interest Coverage or its related term are showing as below:

NSE:FACT' s Interest Coverage Range Over the Past 10 Years
Min: 0.09 Med: 1.34 Max: 3.07
Current: 0.1

NSE:FACT's Interest Coverage is ranked worse than
99.44% of 180 companies
in the Agriculture industry
Industry Median: 6.815 vs NSE:FACT: 0.10

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 Fertilizers & Chemicals Travancore Interest Coverage Historical Data

The historical data trend for The Fertilizers & Chemicals Travancore'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.

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The Fertilizers & Chemicals Travancore Interest Coverage Chart

The Fertilizers & Chemicals Travancore Annual Data

Trend

Mar15

Mar16

Mar17

Mar18

Mar19

Mar20

Mar21

Mar22

Mar23

Mar24

Interest Coverage

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0.93

2.13

2.42

3.07

1.34

The Fertilizers & Chemicals Travancore Quarterly Data
	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24
Interest Coverage	Get a 7-Day Free Trial															2.07	0.61	0.36	-	0.47

Competitive Comparison of The Fertilizers & Chemicals Travancore's Interest Coverage

For the Agricultural Inputs subindustry, The Fertilizers & Chemicals Travancore'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 Fertilizers & Chemicals Travancore's Interest Coverage Distribution in the Agriculture Industry

For the Agriculture industry and Basic Materials sector, The Fertilizers & Chemicals Travancore's Interest Coverage distribution charts can be found below:

* The bar in red indicates where The Fertilizers & Chemicals Travancore's Interest Coverage falls into.

The Fertilizers & Chemicals Travancore 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 Fertilizers & Chemicals Travancore's Interest Coverage for the fiscal year that ended in Mar. 2024 is calculated as

Here, for the fiscal year that ended in Mar. 2024, The Fertilizers & Chemicals Travancore's Interest Expense was ₹-2,441 Mil. Its Operating Income was ₹3,275 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹316 Mil.

Interest Coverage	=	-1	*	Operating Income (A: Mar. 2024 )	/	Interest Expense (A: Mar. 2024 )
	=	-1	*	3274.758	/	-2440.551
	=	1.34

The Fertilizers & Chemicals Travancore's Interest Coverage for the quarter that ended in Sep. 2024 is calculated as

Here, for the three months ended in Sep. 2024, The Fertilizers & Chemicals Travancore's Interest Expense was ₹-614 Mil. Its Operating Income was ₹286 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹312 Mil.

Interest Coverage	=	-1	*	Operating Income (Q: Sep. 2024 )	/	Interest Expense (Q: Sep. 2024 )
	=	-1	*	286.3	/	-613.7
	=	0.47

The higher the ratio, the stronger the company's Financial Strength is.

The Fertilizers & Chemicals Travancore (NSE:FACT) 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 Fertilizers & Chemicals Travancore Interest Coverage Related Terms

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The Fertilizers & Chemicals Travancore Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Basic Materials » Agriculture » The Fertilizers & Chemicals Travancore Ltd (NSE:FACT) » Definitions » Interest Coverage

Comparable Companies

Traded in Other Exchanges

590024:India

Address

Eloor, Udyogamandal, Ernakulam District, Kochi, KL, IND, 683501

Website

https://www.fact.co.in

The Fertilizers & Chemicals Travancore Ltd is engaged in the manufacturing of fertilizers and other businesses. It operates through two segments: Fertilizers and Petrochemical. Its products include Ammonium Phosphate, Ammonium Sulphate, Mixtures, MOP (Muriate of Potash) and Caprolactam. It also provides engineering consultancy and equipment fabrication services. The company generates the majority of its revenue from the Fertilizers segment.