Redwood Group (ROCO:8426) Interest Coverage: 29.30 (As of Dec. 2025) — 40% Above Median

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ROCO:8426 Redwood Group Ltd ROCO:8426
69 GF Score
Price NT$20.15
GF Value NT$50.08
Valuation Significantly Undervalued
! 4 Warning Signs
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What is Redwood Group Interest Coverage?

Redwood Group ROCO:8426 +0.75% 69 Interest Coverage is 29.30 as of Dec. 2025, which is 40% above its 10-year median of 20.93. GuruFocus rates ROCO:8426 with a GF Score™ of 69/100 and a GF Value™ of NT$50.08 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 294 Furnishings, Fixtures & Appliances companies, Redwood Group ranks better than 51.36% 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. Redwood Group's Operating Income for the three months ended in Dec. 2025 was NT$119 Mil. Redwood Group's Interest Expense for the three months ended in Dec. 2025 was NT$-4 Mil. Redwood Group's interest coverage for the quarter that ended in Dec. 2025 was 29.30. The higher the ratio, the stronger the company's financial strength is.

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

ROCO:8426' s Interest Coverage Range Over the Past 10 Years
Min: 2.88   Med: 20.93   Max: 81.34
Current: 11.97


ROCO:8426's Interest Coverage is ranked better than
51.36% of 294 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 10.955 vs ROCO:8426: 11.97

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


Redwood Group  (ROCO:8426) 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 .


Redwood Group Interest Coverage Related Terms


Redwood Group Interest Coverage Historical Data

* Premium members only.

The historical data trend for Redwood Group'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.

Redwood Group Interest Coverage Chart

Redwood Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 2.88 21.69 20.93 11.97

Redwood Group Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 49.45 0.00 0.00 34.26 29.30

ROCO:8426 vs SN, SGI, MHK: Interest Coverage Comparison

For the Furnishings, Fixtures & Appliances subindustry, Redwood Group'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.


Redwood Group Interest Coverage vs Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Redwood Group's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Redwood Group's Interest Coverage falls into.


ROCO:8426
69GF Score
Redwood Group Ltd ROCO:8426
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Redwood Group 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.

Redwood Group's Interest Coverage for the fiscal year that ended in Dec. 2025 is calculated as

Here, for the fiscal year that ended in Dec. 2025, Redwood Group's Interest Expense was NT$-15 Mil. Its Operating Income was NT$179 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$408 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*178.573/-14.922
=11.97

Redwood Group's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the three months ended in Dec. 2025, Redwood Group's Interest Expense was NT$-4 Mil. Its Operating Income was NT$119 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$408 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*119.064/-4.063
=29.30

* 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 29.30 mean?
Redwood Group (ROCO:8426) has a Interest Coverage of 29.30 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Redwood Group and its competitors. This is 40% above median its historical median of 20.93. Over the past decade, Redwood Group's Interest Coverage has ranged from 2.88 to 81.34. According to the industry distribution chart, Redwood Group ranks #143 out of 294 companies in the Furnishings, Fixtures & Appliances industry, placing it in the top 48.6%.
Is Redwood Group's Interest Coverage too high?
Redwood Group's current Interest Coverage of 29.30 is 40% above median its 10-year median of 20.93. Over the past 10 years, this metric has ranged from a low of 2.88 to a high of 81.34. The Furnishings, Fixtures & Appliances industry median Interest Coverage is 10.96. Redwood Group's value of 29.30 is 167.5% above this industry median. Based on the distribution chart, Redwood Group ranks #143 out of 294 companies in the Furnishings, Fixtures & Appliances industry, which is above the industry midpoint. Overall, Redwood Group has a GF Score™ of 69/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Redwood Group's Interest Coverage compare to SN and SGI?
According to the Furnishings, Fixtures & Appliances industry distribution chart, Redwood Group ranks #143 out of 294 companies for Interest Coverage. This puts Redwood Group in the upper half of its industry. The industry median Interest Coverage is 10.96. Redwood Group's value of 29.30 is 167.5% above this benchmark. Historically, Redwood Group's own Interest Coverage has ranged from 2.88 to 81.34 over the past decade. While the company's 10-year median is 20.93 vs. the industry median of 10.96, Redwood Group has consistently been above 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 Furnishings, Fixtures & Appliances company?
The median Interest Coverage among Furnishings, Fixtures & Appliances companies is 10.96, based on 294 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. Redwood Group's current Interest Coverage of 29.30 is 167.5% above 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 Redwood Group and its competitors. For the Furnishings, Fixtures & Appliances industry, the median Interest Coverage is 10.96 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Redwood Group's current Interest Coverage is 29.30, which is 40% above median its own 10-year median of 20.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Redwood Group stock overvalued right now?
Based on GuruFocus' analysis, Redwood Group (ROCO:8426) is currently considered Significantly Undervalued. The stock's GF Value™ is NT$50.08, compared to a current price of NT$20.15 — trading 59.8% below its estimated fair value. The current Interest Coverage is 29.30, which is 40% above median its 10-year median of 20.93 and 167.5% above the Furnishings, Fixtures & Appliances industry median of 10.96. Redwood Group's overall GF Score™ is 69/100 with 4 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 Redwood Group (ROCO:8426), the current Interest Coverage is 29.30 as of Dec. 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 Redwood Group (ROCO:8426) Overvalued in 2026?

Based on GuruFocus' analysis, Redwood Group stock appears to be undervalued. The current stock price of NT$20.15 is trading 59.8% below its estimated GF Value™ of NT$50.08. GuruFocus considers Redwood Group to be Significantly Undervalued.

Key valuation signals for ROCO:8426:

  • Interest Coverage: 29.30 (40% above median its 10-year median of 20.93)
  • GF Value™: NT$50.08 vs. price of NT$20.15 (59.8% below fair value)
  • GF Score™: 69/100 with 4 warning signs
  • Industry Position: 167.5% above the Furnishings, Fixtures & Appliances median (#143 of 294)

No single metric tells the full story. See the ROCO:8426 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Redwood Group Business Description

Address No. 205, Section 1, South Road, 106, Room 1107, Da\'an District, Taipei, TWN, 729239
Redwood Group Ltd is a contract manufacturer of high-quality interior fittings. It is mainly engaged in the decoration of globally advance boutique brand stores. The Group operates in three principal geographical areas - Singapore, Malaysia, and the USA, other than that the company also operates in Asian, the Middle East, the Americas, and Europe.
69GF Score

Get the complete analysis for ROCO:8426

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

NT$20.15
Price
NT$50.08
GF Value