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. IRB Infrastructure Developers's
Operating Income
for the
three
months ended in Mar. 2026 was ₹3,609 Mil. IRB Infrastructure Developers's Interest Expense for the
three
months ended in Mar. 2026 was ₹-4,058 Mil.
IRB Infrastructure Developers's interest coverage for the quarter that ended in Mar. 2026 was 0.89.
The higher the ratio, the stronger the company's financial strength is.
Warning Sign:
Ben Graham prefers companies' interest coverage to be at least 5. IRB Infrastructure Developers Ltds earnings cannot cover its interest expense. If the situation continues, the company may have to issue more debt.
The historical rank and industry rank for IRB Infrastructure Developers's Interest Coverage or its related term are showing as below:
NSE:IRB'
s Interest Coverage Range Over the Past 10 Years
Min: 0.87 Med: 1.5 Max: 2.3
Current: 0.87
NSE:IRB's Interest Coverage is ranked worse than 93.93% of 1351
companies
in the Construction industry
Industry Median: 7.81
vs NSE:IRB: 0.87
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 .
IRB Infrastructure Developers Interest Coverage Related Terms
IRB Infrastructure Developers Interest Coverage Historical Data
* 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.
For the Infrastructure Operations subindustry, IRB Infrastructure Developers'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.
IRB Infrastructure Developers Interest Coverage vs Construction Industry
For the Construction industry and Industrials sector, IRB Infrastructure Developers's Interest Coverage distribution charts can be found below:
* The bar in red indicates where IRB Infrastructure Developers'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:
* 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.
IRB Infrastructure Developers (NSE:IRB) has a Interest Coverage of 0.89 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on IRB Infrastructure Developers and its competitors. This is 41% below median its historical median of 1.50. Over the past decade, IRB Infrastructure Developers' Interest Coverage has ranged from 0.87 to 2.30. According to the industry distribution chart, IRB Infrastructure Developers ranks #1269 out of 1351 companies in the Construction industry, placing it in the top 93.9%.
Is IRB Infrastructure Developers' Interest Coverage too high?
IRB Infrastructure Developers' current Interest Coverage of 0.89 is 41% below median its 10-year median of 1.50. Over the past 10 years, this metric has ranged from a low of 0.87 to a high of 2.30. The Construction industry median Interest Coverage is 7.81. IRB Infrastructure Developers' value of 0.89 is 88.6% below this industry median. Based on the distribution chart, IRB Infrastructure Developers ranks #1269 out of 1351 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, IRB Infrastructure Developers has a GF Score™ of 71/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does IRB Infrastructure Developers' Interest Coverage compare to competitors?
According to the Construction industry distribution chart, IRB Infrastructure Developers ranks #1269 out of 1351 companies for Interest Coverage. This places IRB Infrastructure Developers in the lower half of its industry. The industry median Interest Coverage is 7.81. IRB Infrastructure Developers' value of 0.89 is 88.6% below this benchmark. Historically, IRB Infrastructure Developers' own Interest Coverage has ranged from 0.87 to 2.30 over the past decade. While the company's 10-year median is 1.50 vs. the industry median of 7.81, IRB Infrastructure Developers 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 7.81, based on 1,351 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. IRB Infrastructure Developers's current Interest Coverage of 0.89 is 88.6% 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 IRB Infrastructure Developers and its competitors. For the Construction industry, the median Interest Coverage is 7.81 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IRB Infrastructure Developers's current Interest Coverage is 0.89, which is 41% below median its own 10-year median of 1.50. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IRB Infrastructure Developers stock overvalued right now?
Based on GuruFocus' analysis, IRB Infrastructure Developers (NSE:IRB) is currently considered Fairly Valued. The stock's GF Value™ is ₹21.54, compared to a current price of ₹21.19 — trading 1.6% below its estimated fair value. The current Interest Coverage is 0.89, which is 41% below median its 10-year median of 1.50 and 88.6% below the Construction industry median of 7.81. IRB Infrastructure Developers' overall GF Score™ is 71/100 with 8 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 IRB Infrastructure Developers (NSE:IRB), the current Interest Coverage is 0.89 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 IRB Infrastructure Developers (NSE:IRB) Overvalued in 2026?
Based on GuruFocus' analysis, IRB Infrastructure Developers stock appears to be undervalued.
The current stock price of ₹21.19 is trading 1.6% below its estimated GF Value™ of ₹21.54.
GuruFocus considers IRB Infrastructure Developers to be Fairly Valued.
Key valuation signals for NSE:IRB:
Interest Coverage: 0.89 (41% below median its 10-year median of 1.50)
GF Value™: ₹21.54 vs. price of ₹21.19 (1.6% below fair value)
Industry Position: 88.6% below the Construction median (#1269 of 1351)
No single metric tells the full story. See the NSE:IRB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IRB Infrastructure Developers Business Description
IRB Infrastructure Developers Ltd is an infrastructure and construction company. The company organizes itself into segments: Built, Operate and Transfer (BOT)/ Toll, Operate and Transfer (TOT) segment consist of operation and maintenance of roads; InvITs & Related Assets segment consists of investments in units of IRB Infrastructure Trust, IRB InvIT Fund and other related assets; and Construction segment consists of development and maintenance of roads. It derives maximum revenue from Construction segment.
71GF Score
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