Sadbhav Engineering (NSE:SADBHAV) Interest Coverage: 0.46 (As of Mar. 2026) — 31% Below Median

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NSE:SADBHAV Sadbhav Engineering Ltd NSE:SADBHAV
65 GF Score
Price ₹10.05
GF Value ₹11.06
Valuation Fairly Valued
! 5 Warning Signs
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What is Sadbhav Engineering Interest Coverage?

Sadbhav Engineering NSE:SADBHAV +9.96% 65 Interest Coverage is 0.46 as of Mar. 2026, which is 31% below its 10-year median of 0.67. GuruFocus rates NSE:SADBHAV with a GF Score™ of 65/100 and a GF Value™ of ₹11.06 (Fairly Valued). The stock has 5 warning signs investors should review. Among 1,363 Construction companies, Sadbhav Engineering ranks worse than 93.54% 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. Sadbhav Engineering's Operating Income for the three months ended in Mar. 2026 was ₹323 Mil. Sadbhav Engineering's Interest Expense for the three months ended in Mar. 2026 was ₹-698 Mil. Sadbhav Engineering's interest coverage for the quarter that ended in Mar. 2026 was 0.46. 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. Sadbhav Engineering 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 Sadbhav Engineering's Interest Coverage or its related term are showing as below:

NSE:SADBHAV' s Interest Coverage Range Over the Past 10 Years
Min: 0.38   Med: 0.67   Max: 0.95
Current: 0.95


NSE:SADBHAV's Interest Coverage is ranked worse than
93.54% of 1363 companies
in the Construction industry
Industry Median: 8.02 vs NSE:SADBHAV: 0.95

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


Sadbhav Engineering  (NSE:SADBHAV) 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 .


Sadbhav Engineering Interest Coverage Related Terms


Sadbhav Engineering Interest Coverage Historical Data

* Premium members only.

The historical data trend for Sadbhav Engineering'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.

Sadbhav Engineering Interest Coverage Chart

Sadbhav Engineering Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.38 0.67 0.63 0.95

Sadbhav Engineering Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.57 1.20 0.82 1.19 0.46

NSE:SADBHAV vs PWR, FIX, EME: Interest Coverage Comparison

For the Engineering & Construction subindustry, Sadbhav Engineering'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.


Sadbhav Engineering Interest Coverage vs Construction Industry

For the Construction industry and Industrials sector, Sadbhav Engineering's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Sadbhav Engineering's Interest Coverage falls into.


NSE:SADBHAV
65GF Score
Sadbhav Engineering Ltd NSE:SADBHAV
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sadbhav Engineering 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.

Sadbhav Engineering's Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, Sadbhav Engineering's Interest Expense was ₹-4,145 Mil. Its Operating Income was ₹3,922 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹8,418 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*3921.703/-4145.235
=0.95

Sadbhav Engineering's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Sadbhav Engineering's Interest Expense was ₹-698 Mil. Its Operating Income was ₹323 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹8,418 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*323.426/-698.469
=0.46

* 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 0.46 mean?
Sadbhav Engineering (NSE:SADBHAV) has a Interest Coverage of 0.46 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sadbhav Engineering and its competitors. This is 31% below median its historical median of 0.67. Over the past decade, Sadbhav Engineering's Interest Coverage has ranged from 0.38 to 0.95. According to the industry distribution chart, Sadbhav Engineering ranks #1275 out of 1363 companies in the Construction industry, placing it in the top 93.5%.
Is Sadbhav Engineering's Interest Coverage too high?
Sadbhav Engineering's current Interest Coverage of 0.46 is 31% below median its 10-year median of 0.67. Over the past 10 years, this metric has ranged from a low of 0.38 to a high of 0.95. The Construction industry median Interest Coverage is 8.02. Sadbhav Engineering's value of 0.46 is 94.3% below this industry median. Based on the distribution chart, Sadbhav Engineering ranks #1275 out of 1363 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, Sadbhav Engineering has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sadbhav Engineering's Interest Coverage compare to PWR and FIX?
According to the Construction industry distribution chart, Sadbhav Engineering ranks #1275 out of 1363 companies for Interest Coverage. This places Sadbhav Engineering in the lower half of its industry. The industry median Interest Coverage is 8.02. Sadbhav Engineering's value of 0.46 is 94.3% below this benchmark. Historically, Sadbhav Engineering's own Interest Coverage has ranged from 0.38 to 0.95 over the past decade. While the company's 10-year median is 0.67 vs. the industry median of 8.02, Sadbhav Engineering 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 8.02, based on 1,363 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. Sadbhav Engineering's current Interest Coverage of 0.46 is 94.3% 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 Sadbhav Engineering and its competitors. For the Construction industry, the median Interest Coverage is 8.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sadbhav Engineering's current Interest Coverage is 0.46, which is 31% below median its own 10-year median of 0.67. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sadbhav Engineering stock overvalued right now?
Based on GuruFocus' analysis, Sadbhav Engineering (NSE:SADBHAV) is currently considered Fairly Valued. The stock's GF Value™ is ₹11.06, compared to a current price of ₹10.05 — trading 9.1% below its estimated fair value. The current Interest Coverage is 0.46, which is 31% below median its 10-year median of 0.67 and 94.3% below the Construction industry median of 8.02. Sadbhav Engineering's overall GF Score™ is 65/100 with 5 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 Sadbhav Engineering (NSE:SADBHAV), the current Interest Coverage is 0.46 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 Sadbhav Engineering (NSE:SADBHAV) Overvalued in 2026?

Based on GuruFocus' analysis, Sadbhav Engineering stock appears to be undervalued. The current stock price of ₹10.05 is trading 9.1% below its estimated GF Value™ of ₹11.06. GuruFocus considers Sadbhav Engineering to be Fairly Valued.

Key valuation signals for NSE:SADBHAV:

  • Interest Coverage: 0.46 (31% below median its 10-year median of 0.67)
  • GF Value™: ₹11.06 vs. price of ₹10.05 (9.1% below fair value)
  • GF Score™: 65/100 with 5 warning signs
  • Industry Position: 94.3% below the Construction median (#1275 of 1363)

No single metric tells the full story. See the NSE:SADBHAV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sadbhav Engineering Business Description

Other Exchanges 532710:India
Address Sadbhav, Near Havmor Restaurant, Behind Navrangpura Bus Stand, Navrangpura, Ahmedabad, GJ, IND, 380009
Sadbhav Engineering Ltd is a construction and engineering company. The company is engaged in the business of development of infrastructure facilities in areas of canals, irrigations projects, roads, bridge, mining activities on contract basis, dams which includes civil, electrical and mechanical contractor, designer and engineers, structural contractor, earthwork contractor for repairing, reconstruction, renovation, demolitions and construction of canals, irrigations projects, roads, bridge, dams. It is also engaged in carrying out the construction works as per EPC contract Sadbhav Engineering operates within the Indian domestic market.
65GF Score

Get the complete analysis for NSE:SADBHAV

Interest Coverage is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹10.05
Price
₹11.06
GF Value