Shanxi Lanhua Sci-Tech Venture Co (SHSE:600123) Interest Coverage: 0.81 (As of Mar. 2026) — 77% Below Median

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SHSE:600123 Shanxi Lanhua Sci-Tech Venture Co Ltd SHSE:600123
57 GF Score
Price ¥6.44
GF Value ¥6.42
Valuation Fairly Valued
! 7 Warning Signs
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What is Shanxi Lanhua Sci-Tech Venture Co Interest Coverage?

Shanxi Lanhua Sci-Tech Venture Co SHSE:600123 +2.38% 57 Interest Coverage is 0.81 as of Mar. 2026, which is 77% below its 10-year median of 3.57. GuruFocus rates SHSE:600123 with a GF Score™ of 57/100 and a GF Value™ of ¥6.42 (Fairly Valued). The stock has 7 warning signs investors should review. Among 112 Other Energy Sources companies, Shanxi Lanhua Sci-Tech Venture Co ranks worse than 892856.25% 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. Shanxi Lanhua Sci-Tech Venture Co's Operating Income for the three months ended in Mar. 2026 was ¥89 Mil. Shanxi Lanhua Sci-Tech Venture Co's Interest Expense for the three months ended in Mar. 2026 was ¥-110 Mil. Shanxi Lanhua Sci-Tech Venture Co's interest coverage for the quarter that ended in Mar. 2026 was 0.81. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Shanxi Lanhua Sci-Tech Venture Co's Interest Coverage or its related term are showing as below:


SHSE:600123's Interest Coverage is not ranked *
in the Other Energy Sources industry.
Industry Median: 10.27
* Ranked among companies with meaningful Interest Coverage only.

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


Shanxi Lanhua Sci-Tech Venture Co  (SHSE:600123) 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 .


Shanxi Lanhua Sci-Tech Venture Co Interest Coverage Related Terms


Shanxi Lanhua Sci-Tech Venture Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Shanxi Lanhua Sci-Tech Venture Co'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.

Shanxi Lanhua Sci-Tech Venture Co Interest Coverage Chart

Shanxi Lanhua Sci-Tech Venture Co 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 7.18 13.34 10.89 2.92 0.00

Shanxi Lanhua Sci-Tech Venture Co 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 1.33 0.00 0.00 0.00 0.81

Shanxi Lanhua Sci-Tech Venture Co Interest Coverage Competitor Comparison

For the Thermal Coal subindustry, Shanxi Lanhua Sci-Tech Venture Co'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.


Shanxi Lanhua Sci-Tech Venture Co Interest Coverage vs Other Energy Sources Industry

For the Other Energy Sources industry and Energy sector, Shanxi Lanhua Sci-Tech Venture Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Shanxi Lanhua Sci-Tech Venture Co's Interest Coverage falls into.


SHSE:600123
57GF Score
Shanxi Lanhua Sci-Tech Venture Co Ltd SHSE:600123
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Shanxi Lanhua Sci-Tech Venture Co 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.

Shanxi Lanhua Sci-Tech Venture Co'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, Shanxi Lanhua Sci-Tech Venture Co's Interest Expense was ¥-384 Mil. Its Operating Income was ¥-530 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥9,728 Mil.

Shanxi Lanhua Sci-Tech Venture Co did not have earnings to cover the interest expense.

Shanxi Lanhua Sci-Tech Venture Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Shanxi Lanhua Sci-Tech Venture Co's Interest Expense was ¥-110 Mil. Its Operating Income was ¥89 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥10,294 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*89.068/-110.27
=0.81

* 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 0.81 mean?
Shanxi Lanhua Sci-Tech Venture Co (SHSE:600123) has a Interest Coverage of 0.81 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Shanxi Lanhua Sci-Tech Venture Co and its competitors. This is 77% below median its historical median of 3.57. According to the industry distribution chart, Shanxi Lanhua Sci-Tech Venture Co ranks #999999 out of 112 companies in the Other Energy Sources industry.
Is Shanxi Lanhua Sci-Tech Venture Co's Interest Coverage too high?
Shanxi Lanhua Sci-Tech Venture Co's current Interest Coverage of 0.81 is 77% below median its 10-year median of 3.57. The Other Energy Sources industry median Interest Coverage is 10.27. Shanxi Lanhua Sci-Tech Venture Co's value of 0.81 is 92.1% below this industry median. Based on the distribution chart, Shanxi Lanhua Sci-Tech Venture Co ranks #999999 out of 112 companies in the Other Energy Sources industry, which is in the bottom quartile relative to peers. Overall, Shanxi Lanhua Sci-Tech Venture Co has a GF Score™ of 57/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Shanxi Lanhua Sci-Tech Venture Co's Interest Coverage compare to competitors?
According to the Other Energy Sources industry distribution chart, Shanxi Lanhua Sci-Tech Venture Co ranks #999999 out of 112 companies for Interest Coverage. This places Shanxi Lanhua Sci-Tech Venture Co in the lower half of its industry. The industry median Interest Coverage is 10.27. Shanxi Lanhua Sci-Tech Venture Co's value of 0.81 is 92.1% below this benchmark. While the company's 10-year median is 3.57 vs. the industry median of 10.27, Shanxi Lanhua Sci-Tech Venture Co 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 an Other Energy Sources company?
The median Interest Coverage among Other Energy Sources companies is 10.27, based on 112 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. Shanxi Lanhua Sci-Tech Venture Co's current Interest Coverage of 0.81 is 92.1% 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 Shanxi Lanhua Sci-Tech Venture Co and its competitors. For the Other Energy Sources industry, the median Interest Coverage is 10.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shanxi Lanhua Sci-Tech Venture Co's current Interest Coverage is 0.81, which is 77% below median its own 10-year median of 3.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shanxi Lanhua Sci-Tech Venture Co stock overvalued right now?
Based on GuruFocus' analysis, Shanxi Lanhua Sci-Tech Venture Co (SHSE:600123) is currently considered Fairly Valued. The stock's GF Value™ is ¥6.42, compared to a current price of ¥6.44 — trading 0.3% above its estimated fair value. The current Interest Coverage is 0.81, which is 77% below median its 10-year median of 3.57 and 92.1% below the Other Energy Sources industry median of 10.27. Shanxi Lanhua Sci-Tech Venture Co's overall GF Score™ is 57/100 with 7 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 Shanxi Lanhua Sci-Tech Venture Co (SHSE:600123), the current Interest Coverage is 0.81 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 Shanxi Lanhua Sci-Tech Venture Co (SHSE:600123) Overvalued in 2026?

Based on GuruFocus' analysis, Shanxi Lanhua Sci-Tech Venture Co stock appears to be overvalued. The current stock price of ¥6.44 is trading 0.3% above its estimated GF Value™ of ¥6.42. GuruFocus considers Shanxi Lanhua Sci-Tech Venture Co to be Fairly Valued.

Key valuation signals for SHSE:600123:

  • Interest Coverage: 0.81 (77% below median its 10-year median of 3.57)
  • GF Value™: ¥6.42 vs. price of ¥6.44 (0.3% above fair value)
  • GF Score™: 57/100 with 7 warning signs
  • Industry Position: 92.1% below the Other Energy Sources median (#999999 of 112)

No single metric tells the full story. See the SHSE:600123 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shanxi Lanhua Sci-Tech Venture Co Business Description

Address No. 2288 Fengtai East Street, Lanhua Technology Building, Jincheng, Shanxi, CHN, 048000
Shanxi Lanhua Sci-Tech Venture Co Ltd is engaged in the production and sale of coal. It also offers chemical products comprising urea, fertilizer products, caprolactam products, dimethyl ether, and methanol. The company sells its products in various provinces and cities in China; and exports its products to North America, Southeast Asia, and other countries.
57GF Score

Get the complete analysis for SHSE:600123

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

¥6.44
Price
¥6.42
GF Value