Sotac Pharmaceuticals (NSE:SOTAC) Interest Coverage: 0.50 (As of Sep. 2025) — 84% Below Median


NSE:SOTAC Sotac Pharmaceuticals Ltd NSE:SOTAC
52 GF Score
Price ₹105.00
GF Value ₹110.01
Valuation Fairly Valued
! 6 Warning Signs
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What is Sotac Pharmaceuticals Interest Coverage?

Sotac Pharmaceuticals NSE:SOTAC 52 Interest Coverage is 0.50 as of Sep. 2025, which is 84% below its 10-year median of 3.16. GuruFocus rates NSE:SOTAC with a GF Score™ of 52/100 and a GF Value™ of ₹110.01 (Fairly Valued). The stock has 6 warning signs investors should review. Among 686 Drug Manufacturers companies, Sotac Pharmaceuticals ranks worse than 81.34% 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. Sotac Pharmaceuticals's Operating Income for the six months ended in Sep. 2025 was ₹9.4 Mil. Sotac Pharmaceuticals's Interest Expense for the six months ended in Sep. 2025 was ₹-18.8 Mil. Sotac Pharmaceuticals's interest coverage for the quarter that ended in Sep. 2025 was 0.50. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Sotac Pharmaceuticals's Interest Coverage or its related term are showing as below:

NSE:SOTAC' s Interest Coverage Range Over the Past 10 Years
Min: 2.58   Med: 3.16   Max: 4.42
Current: 2.58


NSE:SOTAC's Interest Coverage is ranked worse than
81.34% of 686 companies
in the Drug Manufacturers industry
Industry Median: 12.725 vs NSE:SOTAC: 2.58

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


Sotac Pharmaceuticals  (NSE:SOTAC) 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 .


Sotac Pharmaceuticals Interest Coverage Related Terms


Sotac Pharmaceuticals Interest Coverage Historical Data

* Premium members only.

The historical data trend for Sotac Pharmaceuticals'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.

Sotac Pharmaceuticals Interest Coverage Chart

Sotac Pharmaceuticals Annual Data
Trend Mar20 Mar21 Mar22 Mar23 Mar24 Mar25
Interest Coverage
Get a 7-Day Free Trial 0.00 0.00 2.76 3.55 4.42

Sotac Pharmaceuticals Semi-Annual Data
Mar20 Mar21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
Interest Coverage Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.35 3.84 2.79 5.77 0.50

NSE:SOTAC vs ZTS, UTHR: Interest Coverage Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Sotac Pharmaceuticals'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.


Sotac Pharmaceuticals Interest Coverage vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Sotac Pharmaceuticals's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Sotac Pharmaceuticals's Interest Coverage falls into.


NSE:SOTAC
52GF Score
Sotac Pharmaceuticals Ltd NSE:SOTAC
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Sotac Pharmaceuticals 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.

Sotac Pharmaceuticals'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, Sotac Pharmaceuticals's Interest Expense was ₹-22.3 Mil. Its Operating Income was ₹98.7 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹141.9 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2025 )/Interest Expense (A: Mar. 2025 )
=-1*98.693/-22.33
=4.42

Sotac Pharmaceuticals's Interest Coverage for the quarter that ended in Sep. 2025 is calculated as

Here, for the six months ended in Sep. 2025, Sotac Pharmaceuticals's Interest Expense was ₹-18.8 Mil. Its Operating Income was ₹9.4 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹94.1 Mil.

Interest Coverage=-1* Operating Income (Q: Sep. 2025 )/Interest Expense (Q: Sep. 2025 )
=-1*9.441/-18.77
=0.50

* 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.

Frequently Asked Questions Learn more about Interest Coverage →
What does a Interest Coverage of 0.50 mean?
Sotac Pharmaceuticals (NSE:SOTAC) has a Interest Coverage of 0.50 as of Sep. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sotac Pharmaceuticals and its competitors. This is 84% below median its historical median of 3.16. Over the past decade, Sotac Pharmaceuticals' Interest Coverage has ranged from 2.58 to 4.42. According to the industry distribution chart, Sotac Pharmaceuticals ranks #558 out of 686 companies in the Drug Manufacturers industry, placing it in the top 81.3%.
Is Sotac Pharmaceuticals' Interest Coverage too high?
Sotac Pharmaceuticals' current Interest Coverage of 0.50 is 84% below median its 10-year median of 3.16. Over the past 10 years, this metric has ranged from a low of 2.58 to a high of 4.42. The Drug Manufacturers industry median Interest Coverage is 12.73. Sotac Pharmaceuticals' value of 0.50 is 96.1% below this industry median. Based on the distribution chart, Sotac Pharmaceuticals ranks #558 out of 686 companies in the Drug Manufacturers industry, which is in the bottom quartile relative to peers. Overall, Sotac Pharmaceuticals has a GF Score™ of 52/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Sotac Pharmaceuticals' Interest Coverage compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Sotac Pharmaceuticals ranks #558 out of 686 companies for Interest Coverage. This places Sotac Pharmaceuticals in the lower half of its industry. The industry median Interest Coverage is 12.73. Sotac Pharmaceuticals' value of 0.50 is 96.1% below this benchmark. Historically, Sotac Pharmaceuticals' own Interest Coverage has ranged from 2.58 to 4.42 over the past decade. While the company's 10-year median is 3.16 vs. the industry median of 12.73, Sotac Pharmaceuticals 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 Drug Manufacturers company?
The median Interest Coverage among Drug Manufacturers companies is 12.73, based on 686 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. Sotac Pharmaceuticals's current Interest Coverage of 0.50 is 96.1% 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 Sotac Pharmaceuticals and its competitors. For the Drug Manufacturers industry, the median Interest Coverage is 12.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sotac Pharmaceuticals's current Interest Coverage is 0.50, which is 84% below median its own 10-year median of 3.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sotac Pharmaceuticals stock overvalued right now?
Based on GuruFocus' analysis, Sotac Pharmaceuticals (NSE:SOTAC) is currently considered Fairly Valued. The stock's GF Value™ is ₹110.01, compared to a current price of ₹105.00 — trading 4.6% below its estimated fair value. The current Interest Coverage is 0.50, which is 84% below median its 10-year median of 3.16 and 96.1% below the Drug Manufacturers industry median of 12.73. Sotac Pharmaceuticals' overall GF Score™ is 52/100 with 6 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 Sotac Pharmaceuticals (NSE:SOTAC), the current Interest Coverage is 0.50 as of Sep. 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.

Is Sotac Pharmaceuticals (NSE:SOTAC) Overvalued in 2026?

Based on GuruFocus' analysis, Sotac Pharmaceuticals stock appears to be undervalued. The current stock price of ₹105.00 is trading 4.6% below its estimated GF Value™ of ₹110.01. GuruFocus considers Sotac Pharmaceuticals to be Fairly Valued.

Key valuation signals for NSE:SOTAC:

  • Interest Coverage: 0.50 (84% below median its 10-year median of 3.16)
  • GF Value™: ₹110.01 vs. price of ₹105.00 (4.6% below fair value)
  • GF Score™: 52/100 with 6 warning signs
  • Industry Position: 96.1% below the Drug Manufacturers median (#558 of 686)

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


Sotac Pharmaceuticals Business Description

Address Plot No. PF-21 & PF-22/A, Charal Industrial Estate, Sanand GIDC-II, Sanand, Ahmedabad, GJ, IND, 382110
Sotac Pharmaceuticals Ltd operates chiefly in pharmaceutical manufacturing, serving a broad range of therapeutic segments including anti-diabetic, anti-psychotic, vitamins and minerals, anti-cold, anti-allergic, derma products, antacids, anti-ulcerants, cardiac, analgesic, anti-bacterial, anti-fungal, and more. The company manufactures tablets, capsules, syrups, and external preparations under contract manufacturing and loan licensing agreements, for domestic and international markets. Its clients include notable pharmaceutical marketers such as Cadila Pharma and Viatris. Revenue is distributed between domestic pharmaceutical product sales and international exports, supporting scalable growth across geographies.
52GF Score

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

₹105.00
Price
₹110.01
GF Value