Inner Mongolia Yili Industrial Group Co (SHSE:600887) Interest Coverage: 22.95 (As of Mar. 2026) — 56% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SHSE:600887 Inner Mongolia Yili Industrial Group Co Ltd SHSE:600887
87 GF Score
Price ¥25.28
GF Value ¥27.40
Valuation Fairly Valued
! 4 Warning Signs
View Full Analysis

What is Inner Mongolia Yili Industrial Group Co Interest Coverage?

Inner Mongolia Yili Industrial Group Co SHSE:600887 +1.00% 87 Interest Coverage is 22.95 as of Mar. 2026, which is 56% above its 10-year median of 14.70. GuruFocus rates SHSE:600887 with a GF Score™ of 87/100 and a GF Value™ of ¥27.40 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,511 Consumer Packaged Goods companies, Inner Mongolia Yili Industrial Group Co ranks better than 53.28% 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. Inner Mongolia Yili Industrial Group Co's Operating Income for the three months ended in Mar. 2026 was ¥6,109 Mil. Inner Mongolia Yili Industrial Group Co's Interest Expense for the three months ended in Mar. 2026 was ¥-266 Mil. Inner Mongolia Yili Industrial Group Co's interest coverage for the quarter that ended in Mar. 2026 was 22.95. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Inner Mongolia Yili Industrial Group Co's Interest Coverage or its related term are showing as below:

SHSE:600887' s Interest Coverage Range Over the Past 10 Years
Min: 6.01   Med: 14.7   Max: 126.21
Current: 10.16


SHSE:600887's Interest Coverage is ranked better than
53.28% of 1511 companies
in the Consumer Packaged Goods industry
Industry Median: 8.61 vs SHSE:600887: 10.16

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


Inner Mongolia Yili Industrial Group Co  (SHSE:600887) 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 .


Inner Mongolia Yili Industrial Group Co Interest Coverage Related Terms


Inner Mongolia Yili Industrial Group Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Inner Mongolia Yili Industrial Group 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.

Inner Mongolia Yili Industrial Group Co Interest Coverage Chart

Inner Mongolia Yili Industrial Group 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 12.58 7.99 6.01 6.84 9.99

Inner Mongolia Yili Industrial Group 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 23.71 8.72 12.29 3.64 22.95

SHSE:600887 vs KHC, GIS: Interest Coverage Comparison

For the Packaged Foods subindustry, Inner Mongolia Yili Industrial Group 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.


Inner Mongolia Yili Industrial Group Co Interest Coverage vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Inner Mongolia Yili Industrial Group Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Inner Mongolia Yili Industrial Group Co's Interest Coverage falls into.


SHSE:600887
87GF Score
Inner Mongolia Yili Industrial Group Co Ltd SHSE:600887
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Inner Mongolia Yili Industrial Group 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.

Inner Mongolia Yili Industrial Group 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, Inner Mongolia Yili Industrial Group Co's Interest Expense was ¥-1,366 Mil. Its Operating Income was ¥13,657 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥761 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*13657.497/-1366.436
=9.99

Inner Mongolia Yili Industrial Group Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Inner Mongolia Yili Industrial Group Co's Interest Expense was ¥-266 Mil. Its Operating Income was ¥6,109 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥685 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*6108.96/-266.188
=22.95

* 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 22.95 mean?
Inner Mongolia Yili Industrial Group Co (SHSE:600887) has a Interest Coverage of 22.95 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Inner Mongolia Yili Industrial Group Co and its competitors. This is 56% above median its historical median of 14.70. Over the past decade, Inner Mongolia Yili Industrial Group Co's Interest Coverage has ranged from 6.01 to 126.21. According to the industry distribution chart, Inner Mongolia Yili Industrial Group Co ranks #706 out of 1511 companies in the Consumer Packaged Goods industry, placing it in the top 46.7%.
Is Inner Mongolia Yili Industrial Group Co's Interest Coverage too high?
Inner Mongolia Yili Industrial Group Co's current Interest Coverage of 22.95 is 56% above median its 10-year median of 14.70. Over the past 10 years, this metric has ranged from a low of 6.01 to a high of 126.21. The Consumer Packaged Goods industry median Interest Coverage is 8.61. Inner Mongolia Yili Industrial Group Co's value of 22.95 is 166.6% above this industry median. Based on the distribution chart, Inner Mongolia Yili Industrial Group Co ranks #706 out of 1511 companies in the Consumer Packaged Goods industry, which is above the industry midpoint. Overall, Inner Mongolia Yili Industrial Group Co has a GF Score™ of 87/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Inner Mongolia Yili Industrial Group Co's Interest Coverage compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Inner Mongolia Yili Industrial Group Co ranks #706 out of 1511 companies for Interest Coverage. This puts Inner Mongolia Yili Industrial Group Co in the upper half of its industry. The industry median Interest Coverage is 8.61. Inner Mongolia Yili Industrial Group Co's value of 22.95 is 166.6% above this benchmark. Historically, Inner Mongolia Yili Industrial Group Co's own Interest Coverage has ranged from 6.01 to 126.21 over the past decade. While the company's 10-year median is 14.70 vs. the industry median of 8.61, Inner Mongolia Yili Industrial Group Co 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 Consumer Packaged Goods company?
The median Interest Coverage among Consumer Packaged Goods companies is 8.61, based on 1,511 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. Inner Mongolia Yili Industrial Group Co's current Interest Coverage of 22.95 is 166.6% 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 Inner Mongolia Yili Industrial Group Co and its competitors. For the Consumer Packaged Goods industry, the median Interest Coverage is 8.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Inner Mongolia Yili Industrial Group Co's current Interest Coverage is 22.95, which is 56% above median its own 10-year median of 14.70. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Inner Mongolia Yili Industrial Group Co stock overvalued right now?
Based on GuruFocus' analysis, Inner Mongolia Yili Industrial Group Co (SHSE:600887) is currently considered Fairly Valued. The stock's GF Value™ is ¥27.40, compared to a current price of ¥25.28 — trading 7.7% below its estimated fair value. The current Interest Coverage is 22.95, which is 56% above median its 10-year median of 14.70 and 166.6% above the Consumer Packaged Goods industry median of 8.61. Inner Mongolia Yili Industrial Group Co's overall GF Score™ is 87/100 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 Inner Mongolia Yili Industrial Group Co (SHSE:600887), the current Interest Coverage is 22.95 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 Inner Mongolia Yili Industrial Group Co (SHSE:600887) Overvalued in 2026?

Based on GuruFocus' analysis, Inner Mongolia Yili Industrial Group Co stock appears to be undervalued. The current stock price of ¥25.28 is trading 7.7% below its estimated GF Value™ of ¥27.40. GuruFocus considers Inner Mongolia Yili Industrial Group Co to be Fairly Valued.

Key valuation signals for SHSE:600887:

  • Interest Coverage: 22.95 (56% above median its 10-year median of 14.70)
  • GF Value™: ¥27.40 vs. price of ¥25.28 (7.7% below fair value)
  • GF Score™: 87/100 with 4 warning signs
  • Industry Position: 166.6% above the Consumer Packaged Goods median (#706 of 1511)

No single metric tells the full story. See the SHSE:600887 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Inner Mongolia Yili Industrial Group Co Business Description

Address No. 1 Yili Street, Chilechuan Dairy Development Zone, Inner Mongolia Autonomous Region, Hohhot, CHN, 010110
Inner Mongolia Yili Industrial Group is the largest dairy products manufacturer in China, with the majority of revenue (around 70%) coming from the liquid milk segment. The company also manufactures ice cream, milk powder, and cheese products. Some flagship lineups include Satine, Yili Pure Milk, Ambrosial, and Changqing. The company also expands its overseas presence through setting up R&D centers and acquiring foreign dairy brands such as Westland in New Zealand and Chomthana in Thailand.
87GF Score

Get the complete analysis for SHSE:600887

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

¥25.28
Price
¥27.40
GF Value