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NanJing GOVA Technology Co (SHSE:688539) Interest Coverage : 17.35 (As of Mar. 2025)


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What is NanJing GOVA Technology Co Interest Coverage?

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 GOVA Technology Co's Operating Income for the three months ended in Mar. 2025 was ¥3.0 Mil. NanJing GOVA Technology Co's Interest Expense for the three months ended in Mar. 2025 was ¥-0.2 Mil. NanJing GOVA Technology Co's interest coverage for the quarter that ended in Mar. 2025 was 17.35. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. NanJing GOVA Technology Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for NanJing GOVA Technology Co's Interest Coverage or its related term are showing as below:

SHSE:688539' s Interest Coverage Range Over the Past 10 Years
Min: 5.91   Med: 24.03   Max: 659.14
Current: 90.58


SHSE:688539's Interest Coverage is ranked better than
79.01% of 1601 companies
in the Hardware industry
Industry Median: 13.09 vs SHSE:688539: 90.58

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


NanJing GOVA Technology Co Interest Coverage Historical Data

The historical data trend for NanJing GOVA Technology 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.

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NanJing GOVA Technology Co Interest Coverage Chart

NanJing GOVA Technology Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.27 49.55 151.98 659.14 197.43

NanJing GOVA Technology Co Quarterly Data
Dec17 Mar18 Jun18 Dec19 Dec20 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 916.77 529.73 126.83 28.33 17.35

Competitive Comparison of NanJing GOVA Technology Co's Interest Coverage

For the Electronic Components subindustry, NanJing GOVA Technology 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 GOVA Technology Co's Interest Coverage Distribution in the Hardware Industry

For the Hardware industry and Technology sector, NanJing GOVA Technology Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where NanJing GOVA Technology Co's Interest Coverage falls into.


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NanJing GOVA Technology 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 GOVA Technology Co's Interest Coverage for the fiscal year that ended in Dec. 2024 is calculated as

Here, for the fiscal year that ended in Dec. 2024, NanJing GOVA Technology Co's Interest Expense was ¥-0.3 Mil. Its Operating Income was ¥56.9 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥0.8 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2024 )/Interest Expense (A: Dec. 2024 )
=-1*56.859/-0.288
=197.43

NanJing GOVA Technology Co's Interest Coverage for the quarter that ended in Mar. 2025 is calculated as

Here, for the three months ended in Mar. 2025, NanJing GOVA Technology Co's Interest Expense was ¥-0.2 Mil. Its Operating Income was ¥3.0 Mil. And its Long-Term Debt & Capital Lease Obligation was ¥0.3 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*2.985/-0.172
=17.35

* 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.


NanJing GOVA Technology Co  (SHSE:688539) 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 GOVA Technology Co Interest Coverage Related Terms

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NanJing GOVA Technology Co Business Description

Traded in Other Exchanges
N/A
Address
No. 66, Qixia Avenue, Economic and Technological Development Zone, Jiangsu Province, Nanjing, CHN, 210046
NanJing GOVA Technology Co Ltd is a high-tech enterprise that develops, designs, produces and sells high-reliability sensors and sensor network systems. The main products are various pressure, acceleration, temperature and humidity, displacement and other sensors, and integrate the above sensors into a sensor network system through software algorithms.
Executives
Dan Lei Director
Chen Xin Director
She De Qun Director
Huang Biao Director
Li Wei Ping Director

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