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. RKEC Projects's
Operating Income
for the
three
months ended in Mar. 2025 was ₹154 Mil. RKEC Projects's Interest Expense for the
three
months ended in Mar. 2025 was ₹-24 Mil.
RKEC Projects's interest coverage for the quarter that ended in Mar. 2025 was 6.47.
The higher the ratio, the stronger the company's financial strength is.
The historical rank and industry rank for RKEC Projects's Interest Coverage or its related term are showing as below:
NSE:RKEC's Interest Coverage is not ranked *
in the Construction industry.
Industry Median: 7.81 * Ranked among companies with meaningful Interest Coverage only.
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 .
RKEC Projects Interest Coverage Related Terms
RKEC Projects Interest Coverage Historical Data
* Premium members only.
The historical data trend for RKEC 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.
NSE:RKEC vs PWR, FIX, EME: Interest Coverage Comparison
For the Engineering & Construction subindustry, RKEC 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.
RKEC Projects Interest Coverage vs Construction Industry
For the Construction industry and Industrials sector, RKEC Projects's Interest Coverage distribution charts can be found below:
* The bar in red indicates where RKEC Projects'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.
RKEC Projects (NSE:RKEC) has a Interest Coverage of 6.47 as of Mar. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on RKEC Projects and its competitors.
Is RKEC Projects' Interest Coverage too high?
RKEC Projects' current Interest Coverage is 6.47. The Construction industry median Interest Coverage is 7.81. RKEC Projects' value of 6.47 is 17.2% below this industry median. Overall, RKEC Projects has a GF Score™ of 65/100, reflecting its overall financial health beyond just this single metric.
How does RKEC Projects' Interest Coverage compare to PWR and FIX?
RKEC Projects' Interest Coverage of 6.47 can be compared against companies in the Construction industry. The industry median Interest Coverage is 7.81. RKEC Projects' value of 6.47 is 17.2% below this benchmark. 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. RKEC Projects's current Interest Coverage of 6.47 is 17.2% 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 RKEC Projects 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. RKEC Projects's current Interest Coverage is 6.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RKEC Projects stock overvalued right now?
RKEC Projects (NSE:RKEC) has a current Interest Coverage of 6.47. The current Interest Coverage is 6.47 and 17.2% below the Construction industry median of 7.81. RKEC Projects' overall GF Score™ is 65/100. 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 RKEC Projects (NSE:RKEC), the current Interest Coverage is 6.47 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.
RKEC Projects Ltd operates in the construction business. The company is engaged in civil construction such as the construction of highways, roads, and bridges. Its completed projects include Marine Works, Roads and Bridges, Building and Infrastructure Works, and Electrification.
65GF Score
Get the complete analysis for NSE:RKEC
Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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