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NIIT Learning Systems (NSE:NIITMTS) Interest Coverage : 10.50 (As of Mar. 2025)


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What is NIIT Learning Systems 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. NIIT Learning Systems's Operating Income for the three months ended in Mar. 2025 was ₹634 Mil. NIIT Learning Systems's Interest Expense for the three months ended in Mar. 2025 was ₹-60 Mil. NIIT Learning Systems's interest coverage for the quarter that ended in Mar. 2025 was 10.50. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for NIIT Learning Systems's Interest Coverage or its related term are showing as below:

NSE:NIITMTS' s Interest Coverage Range Over the Past 10 Years
Min: 9.27   Med: 14.09   Max: 69.42
Current: 14.09


NSE:NIITMTS's Interest Coverage is ranked worse than
53.65% of 192 companies
in the Education industry
Industry Median: 16.92 vs NSE:NIITMTS: 14.09

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


NIIT Learning Systems Interest Coverage Historical Data

The historical data trend for NIIT Learning Systems'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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NIIT Learning Systems Interest Coverage Chart

NIIT Learning Systems Annual Data
Trend Mar23 Mar24 Mar25
Interest Coverage
69.42 9.27 14.09

NIIT Learning Systems Quarterly Data
Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only 8.22 11.38 10.15 165.92 10.50

Competitive Comparison of NIIT Learning Systems's Interest Coverage

For the Education & Training Services subindustry, NIIT Learning Systems'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.


NIIT Learning Systems's Interest Coverage Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, NIIT Learning Systems's Interest Coverage distribution charts can be found below:

* The bar in red indicates where NIIT Learning Systems's Interest Coverage falls into.


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NIIT Learning Systems 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.

NIIT Learning Systems'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, NIIT Learning Systems's Interest Expense was ₹-208 Mil. Its Operating Income was ₹2,934 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹696 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*2933.83/-208.29
=14.09

NIIT Learning Systems's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, NIIT Learning Systems's Interest Expense was ₹-60 Mil. Its Operating Income was ₹634 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹696 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*634.48/-60.41
=10.50

* 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.


NIIT Learning Systems  (NSE:NIITMTS) 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 .


NIIT Learning Systems Interest Coverage Related Terms

Thank you for viewing the detailed overview of NIIT Learning Systems's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


NIIT Learning Systems Business Description

Traded in Other Exchanges
Address
Infocity, A-24, Sector 34, Gurugram, HR, IND, 122001
NIIT Learning Systems Ltd is engaged in providing managed training solutions which predominantly include technology-based solutions for learning and education management to improve efficiency and effectiveness to customers in the education sector in India and international markets. The company also offers a comprehensive suite of solutions including content, learning delivery, assessment, and technology for students and teachers, as well as solutions for institution administration and management. Geographically, the company derives a majority of its revenue from America, and the rest from Europe, India, and the rest of the world.

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