Nichiryo Baking Co (SSE:2218) Interest Coverage: 1.42 (As of Mar. 2026) — 81% Below Median


SSE:2218 Nichiryo Baking Co Ltd SSE:2218
59 GF Score
Price 円2,166.00
GF Value 円2,345.81
Valuation Fairly Valued
! 4 Warning Signs
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What is Nichiryo Baking Co Interest Coverage?

Nichiryo Baking Co SSE:2218 +0.05% 59 Interest Coverage is 1.42 as of Mar. 2026, which is 81% below its 10-year median of 7.36. GuruFocus rates SSE:2218 with a GF Score™ of 59/100 and a GF Value™ of 円2,345.81 (Fairly Valued). The stock has 4 warning signs investors should review. Among 1,505 Consumer Packaged Goods companies, Nichiryo Baking Co ranks worse than 74.42% 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. Nichiryo Baking Co's Operating Income for the six months ended in Mar. 2026 was 円31 Mil. Nichiryo Baking Co's Interest Expense for the six months ended in Mar. 2026 was 円-22 Mil. Nichiryo Baking Co's interest coverage for the quarter that ended in Mar. 2026 was 1.42. The higher the ratio, the stronger the company's financial strength is.

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

SSE:2218' s Interest Coverage Range Over the Past 10 Years
Min: 2.9   Med: 7.36   Max: 14.47
Current: 3.03


SSE:2218's Interest Coverage is ranked worse than
74.42% of 1505 companies
in the Consumer Packaged Goods industry
Industry Median: 8.57 vs SSE:2218: 3.03

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


Nichiryo Baking Co  (SSE:2218) 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 .


Nichiryo Baking Co Interest Coverage Related Terms


Nichiryo Baking Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Nichiryo Baking 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.

Nichiryo Baking Co Interest Coverage Chart

Nichiryo Baking Co Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.53 7.13 11.96 9.23 3.03

Nichiryo Baking Co Semi-Annual Data
Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25 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 4.99 14.45 5.09 4.89 1.42

SSE:2218 vs KHC, GIS: Interest Coverage Comparison

For the Packaged Foods subindustry, Nichiryo Baking 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.


Nichiryo Baking Co Interest Coverage vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Nichiryo Baking Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Nichiryo Baking Co's Interest Coverage falls into.


SSE:2218
59GF Score
Nichiryo Baking Co Ltd SSE:2218
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Nichiryo Baking 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.

Nichiryo Baking Co's Interest Coverage for the fiscal year that ended in Mar. 2026 is calculated as

Here, for the fiscal year that ended in Mar. 2026, Nichiryo Baking Co's Interest Expense was 円-40 Mil. Its Operating Income was 円122 Mil. And its Long-Term Debt & Capital Lease Obligation was 円1,361 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2026 )/Interest Expense (A: Mar. 2026 )
=-1*121.88/-40.28
=3.03

Nichiryo Baking Co's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the six months ended in Mar. 2026, Nichiryo Baking Co's Interest Expense was 円-22 Mil. Its Operating Income was 円31 Mil. And its Long-Term Debt & Capital Lease Obligation was 円1,361 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*30.819/-21.674
=1.42

* 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 1.42 mean?
Nichiryo Baking Co (SSE:2218) has a Interest Coverage of 1.42 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Nichiryo Baking Co and its competitors. This is 81% below median its historical median of 7.36. Over the past decade, Nichiryo Baking Co's Interest Coverage has ranged from 2.90 to 14.47. According to the industry distribution chart, Nichiryo Baking Co ranks #1120 out of 1505 companies in the Consumer Packaged Goods industry, placing it in the top 74.4%.
Is Nichiryo Baking Co's Interest Coverage too high?
Nichiryo Baking Co's current Interest Coverage of 1.42 is 81% below median its 10-year median of 7.36. Over the past 10 years, this metric has ranged from a low of 2.90 to a high of 14.47. The Consumer Packaged Goods industry median Interest Coverage is 8.57. Nichiryo Baking Co's value of 1.42 is 83.4% below this industry median. Based on the distribution chart, Nichiryo Baking Co ranks #1120 out of 1505 companies in the Consumer Packaged Goods industry, which is below the industry midpoint. Overall, Nichiryo Baking Co has a GF Score™ of 59/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Nichiryo Baking Co's Interest Coverage compare to KHC and GIS?
According to the Consumer Packaged Goods industry distribution chart, Nichiryo Baking Co ranks #1120 out of 1505 companies for Interest Coverage. This places Nichiryo Baking Co in the lower half of its industry. The industry median Interest Coverage is 8.57. Nichiryo Baking Co's value of 1.42 is 83.4% below this benchmark. Historically, Nichiryo Baking Co's own Interest Coverage has ranged from 2.90 to 14.47 over the past decade. While the company's 10-year median is 7.36 vs. the industry median of 8.57, Nichiryo Baking 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 Consumer Packaged Goods company?
The median Interest Coverage among Consumer Packaged Goods companies is 8.57, based on 1,505 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. Nichiryo Baking Co's current Interest Coverage of 1.42 is 83.4% 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 Nichiryo Baking Co and its competitors. For the Consumer Packaged Goods industry, the median Interest Coverage is 8.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Nichiryo Baking Co's current Interest Coverage is 1.42, which is 81% below median its own 10-year median of 7.36. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nichiryo Baking Co stock overvalued right now?
Based on GuruFocus' analysis, Nichiryo Baking Co (SSE:2218) is currently considered Fairly Valued. The stock's GF Value™ is 円2,345.81, compared to a current price of 円2,166.00 — trading 7.7% below its estimated fair value. The current Interest Coverage is 1.42, which is 81% below median its 10-year median of 7.36 and 83.4% below the Consumer Packaged Goods industry median of 8.57. Nichiryo Baking Co's overall GF Score™ is 59/100 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 Nichiryo Baking Co (SSE:2218), the current Interest Coverage is 1.42 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 Nichiryo Baking Co (SSE:2218) Overvalued in 2026?

Based on GuruFocus' analysis, Nichiryo Baking Co stock appears to be undervalued. The current stock price of 円2,166.00 is trading 7.7% below its estimated GF Value™ of 円2,345.81. GuruFocus considers Nichiryo Baking Co to be Fairly Valued.

Key valuation signals for SSE:2218:

  • Interest Coverage: 1.42 (81% below median its 10-year median of 7.36)
  • GF Value™: 円2,345.81 vs. price of 円2,166.00 (7.7% below fair value)
  • GF Score™: 59/100 with 4 warning signs
  • Industry Position: 83.4% below the Consumer Packaged Goods median (#1120 of 1505)

No single metric tells the full story. See the SSE:2218 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Nichiryo Baking Co Business Description

Address Toyohira-ku Tsukisa Higashi, Sapporo, JPN, 1118-551
Nichiryo Baking Co Ltd engages in the manufacturing and sale of food products in Japan. The company's products include bread, bakery, pastry, candy products, plain bread, meal bread, sweet bread, Japanese confectionery, northern country bakery, boiled rice, cooked bread. It also sales seasonal items.
59GF Score

Get the complete analysis for SSE:2218

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

円2,166.00
Price
円2,345.81
GF Value