Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) Interest Coverage: 6.20 (As of Mar. 2026) — 64% Below Median

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SHSE:603707 Nanjing King-Friend Biochemical Pharmaceutical Co Ltd SHSE:603707
65 GF Score
Price ¥7.55
GF Value ¥12.70
Valuation Significantly Undervalued
! 4 Warning Signs
View Full Analysis

What is Nanjing King-Friend Biochemical Pharmaceutical Co Interest Coverage?

Nanjing King-Friend Biochemical Pharmaceutical Co SHSE:603707 -4.07% 65 Interest Coverage is 6.20 as of Mar. 2026, which is 64% below its 10-year median of 17.41. GuruFocus rates SHSE:603707 with a GF Score™ of 65/100 and a GF Value™ of ¥12.70 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 687 Drug Manufacturers companies, Nanjing King-Friend Biochemical Pharmaceutical Co ranks worse than 54.44% 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. Nanjing King-Friend Biochemical Pharmaceutical Co's Operating Income for the three months ended in Mar. 2026 was ¥102 Mil. Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Expense for the three months ended in Mar. 2026 was ¥-16 Mil. Nanjing King-Friend Biochemical Pharmaceutical Co's interest coverage for the quarter that ended in Mar. 2026 was 6.20. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Coverage or its related term are showing as below:

SHSE:603707' s Interest Coverage Range Over the Past 10 Years
Min: 9.95   Med: 17.41   Max: 97.37
Current: 9.95


SHSE:603707's Interest Coverage is ranked worse than
54.44% of 687 companies
in the Drug Manufacturers industry
Industry Median: 12.7 vs SHSE:603707: 9.95

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


Nanjing King-Friend Biochemical Pharmaceutical Co  (SHSE:603707) 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 .


Nanjing King-Friend Biochemical Pharmaceutical Co Interest Coverage Related Terms


Nanjing King-Friend Biochemical Pharmaceutical Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Nanjing King-Friend Biochemical Pharmaceutical 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.

Nanjing King-Friend Biochemical Pharmaceutical Co Interest Coverage Chart

Nanjing King-Friend Biochemical Pharmaceutical 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 13.46 17.85 11.88 12.10 10.52

Nanjing King-Friend Biochemical Pharmaceutical 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 7.76 16.51 7.91 11.96 6.20

SHSE:603707 vs ZTS, UTHR: Interest Coverage Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, Nanjing King-Friend Biochemical Pharmaceutical 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.


Nanjing King-Friend Biochemical Pharmaceutical Co Interest Coverage vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Coverage falls into.


SHSE:603707
65GF Score
Nanjing King-Friend Biochemical Pharmaceutical Co Ltd SHSE:603707
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nanjing King-Friend Biochemical Pharmaceutical 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.

Nanjing King-Friend Biochemical Pharmaceutical 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, Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Expense was ¥-55 Mil. Its Operating Income was ¥581 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥77 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*581.367/-55.25
=10.52

Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Expense was ¥-16 Mil. Its Operating Income was ¥102 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥76 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*101.573/-16.379
=6.20

* 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 6.20 mean?
Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) has a Interest Coverage of 6.20 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Nanjing King-Friend Biochemical Pharmaceutical Co and its competitors. This is 64% below median its historical median of 17.41. Over the past decade, Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Coverage has ranged from 9.95 to 97.37. According to the industry distribution chart, Nanjing King-Friend Biochemical Pharmaceutical Co ranks #374 out of 687 companies in the Drug Manufacturers industry, placing it in the top 54.4%.
Is Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Coverage too high?
Nanjing King-Friend Biochemical Pharmaceutical Co's current Interest Coverage of 6.20 is 64% below median its 10-year median of 17.41. Over the past 10 years, this metric has ranged from a low of 9.95 to a high of 97.37. The Drug Manufacturers industry median Interest Coverage is 12.70. Nanjing King-Friend Biochemical Pharmaceutical Co's value of 6.20 is 51.2% below this industry median. Based on the distribution chart, Nanjing King-Friend Biochemical Pharmaceutical Co ranks #374 out of 687 companies in the Drug Manufacturers industry, which is below the industry midpoint. Overall, Nanjing King-Friend Biochemical Pharmaceutical Co has a GF Score™ of 65/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nanjing King-Friend Biochemical Pharmaceutical Co's Interest Coverage compare to ZTS and UTHR?
According to the Drug Manufacturers industry distribution chart, Nanjing King-Friend Biochemical Pharmaceutical Co ranks #374 out of 687 companies for Interest Coverage. This places Nanjing King-Friend Biochemical Pharmaceutical Co in the lower half of its industry. The industry median Interest Coverage is 12.70. Nanjing King-Friend Biochemical Pharmaceutical Co's value of 6.20 is 51.2% below this benchmark. Historically, Nanjing King-Friend Biochemical Pharmaceutical Co's own Interest Coverage has ranged from 9.95 to 97.37 over the past decade. While the company's 10-year median is 17.41 vs. the industry median of 12.70, Nanjing King-Friend Biochemical Pharmaceutical 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 a Drug Manufacturers company?
The median Interest Coverage among Drug Manufacturers companies is 12.70, based on 687 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. Nanjing King-Friend Biochemical Pharmaceutical Co's current Interest Coverage of 6.20 is 51.2% 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 Nanjing King-Friend Biochemical Pharmaceutical Co and its competitors. For the Drug Manufacturers industry, the median Interest Coverage is 12.70 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nanjing King-Friend Biochemical Pharmaceutical Co's current Interest Coverage is 6.20, which is 64% below median its own 10-year median of 17.41. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nanjing King-Friend Biochemical Pharmaceutical Co stock overvalued right now?
Based on GuruFocus' analysis, Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) is currently considered Significantly Undervalued. The stock's GF Value™ is ¥12.70, compared to a current price of ¥7.55 — trading 40.6% below its estimated fair value. The current Interest Coverage is 6.20, which is 64% below median its 10-year median of 17.41 and 51.2% below the Drug Manufacturers industry median of 12.70. Nanjing King-Friend Biochemical Pharmaceutical Co's overall GF Score™ is 65/100 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 Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707), the current Interest Coverage is 6.20 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 Nanjing King-Friend Biochemical Pharmaceutical Co (SHSE:603707) Overvalued in 2026?

Based on GuruFocus' analysis, Nanjing King-Friend Biochemical Pharmaceutical Co stock appears to be undervalued. The current stock price of ¥7.55 is trading 40.6% below its estimated GF Value™ of ¥12.70. GuruFocus considers Nanjing King-Friend Biochemical Pharmaceutical Co to be Significantly Undervalued.

Key valuation signals for SHSE:603707:

  • Interest Coverage: 6.20 (64% below median its 10-year median of 17.41)
  • GF Value™: ¥12.70 vs. price of ¥7.55 (40.6% below fair value)
  • GF Score™: 65/100 with 4 warning signs
  • Industry Position: 51.2% below the Drug Manufacturers median (#374 of 687)

No single metric tells the full story. See the SHSE:603707 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nanjing King-Friend Biochemical Pharmaceutical Co Business Description

Address 1/16 Xuefu Road, Nanjing High-Tech Zone, Nanjing, CHN, 210061
Nanjing King-Friend Biochemical Pharmaceutical Co Ltd is a China-based company engaged in the research and development, import and export of medicines and health products. The main products of the company are Heparin sodium and low molecular weight heparin. Geographically, the business activities are carried out through China and it exports the product mainly to the European and American countries.
65GF Score

Get the complete analysis for SHSE:603707

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

¥7.55
Price
¥12.70
GF Value