Lien Hwa Industrial Holding (TPE:1229) Interest Coverage: 8.06 (As of Dec. 2025) — 39% Below Median


TPE:1229 Lien Hwa Industrial Holding Corp TPE:1229
87 GF Score
Price NT$40.10
GF Value NT$55.75
Valuation Modestly Undervalued
! 3 Warning Signs
View Full Analysis

What is Lien Hwa Industrial Holding Interest Coverage?

Lien Hwa Industrial Holding TPE:1229 -4.21% 87 Interest Coverage is 8.06 as of Dec. 2025, which is 39% below its 10-year median of 13.22. GuruFocus rates TPE:1229 with a GF Score™ of 87/100 and a GF Value™ of NT$55.75 (Modestly Undervalued). The stock has 3 warning signs investors should review. Among 425 Conglomerates companies, Lien Hwa Industrial Holding ranks better than 61.88% 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. Lien Hwa Industrial Holding's Operating Income for the three months ended in Dec. 2025 was NT$427 Mil. Lien Hwa Industrial Holding's Interest Expense for the three months ended in Dec. 2025 was NT$-53 Mil. Lien Hwa Industrial Holding's interest coverage for the quarter that ended in Dec. 2025 was 8.06. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Lien Hwa Industrial Holding's Interest Coverage or its related term are showing as below:

TPE:1229' s Interest Coverage Range Over the Past 10 Years
Min: 5.65   Med: 13.22   Max: 17.35
Current: 9.09


TPE:1229's Interest Coverage is ranked better than
61.88% of 425 companies
in the Conglomerates industry
Industry Median: 5.33 vs TPE:1229: 9.09

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


Lien Hwa Industrial Holding  (TPE:1229) 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 .


Lien Hwa Industrial Holding Interest Coverage Related Terms


Lien Hwa Industrial Holding Interest Coverage Historical Data

* Premium members only.

The historical data trend for Lien Hwa Industrial Holding'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.

Lien Hwa Industrial Holding Interest Coverage Chart

Lien Hwa Industrial Holding 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 16.29 10.62 5.65 5.99 9.09

Lien Hwa Industrial Holding Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25
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 3.37 1.20 21.19 5.57 8.06

TPE:1229 vs HON, MMM: Interest Coverage Comparison

For the Conglomerates subindustry, Lien Hwa Industrial Holding'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.


Lien Hwa Industrial Holding Interest Coverage vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, Lien Hwa Industrial Holding's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Lien Hwa Industrial Holding's Interest Coverage falls into.


TPE:1229
87GF Score
Lien Hwa Industrial Holding Corp TPE:1229
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Lien Hwa Industrial Holding 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.

Lien Hwa Industrial Holding'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, Lien Hwa Industrial Holding's Interest Expense was NT$-225 Mil. Its Operating Income was NT$2,047 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$3,928 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*2046.843/-225.213
=9.09

Lien Hwa Industrial Holding's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the three months ended in Dec. 2025, Lien Hwa Industrial Holding's Interest Expense was NT$-53 Mil. Its Operating Income was NT$427 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$3,928 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*426.808/-52.983
=8.06

* 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 8.06 mean?
Lien Hwa Industrial Holding (TPE:1229) has a Interest Coverage of 8.06 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Lien Hwa Industrial Holding and its competitors. This is 39% below median its historical median of 13.22. Over the past decade, Lien Hwa Industrial Holding's Interest Coverage has ranged from 5.65 to 17.35. According to the industry distribution chart, Lien Hwa Industrial Holding ranks #162 out of 425 companies in the Conglomerates industry, placing it in the top 38.1%.
Is Lien Hwa Industrial Holding's Interest Coverage too high?
Lien Hwa Industrial Holding's current Interest Coverage of 8.06 is 39% below median its 10-year median of 13.22. Over the past 10 years, this metric has ranged from a low of 5.65 to a high of 17.35. The Conglomerates industry median Interest Coverage is 5.33. Lien Hwa Industrial Holding's value of 8.06 is 51.2% above this industry median. Based on the distribution chart, Lien Hwa Industrial Holding ranks #162 out of 425 companies in the Conglomerates industry, which is above the industry midpoint. Overall, Lien Hwa Industrial Holding has a GF Score™ of 87/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lien Hwa Industrial Holding's Interest Coverage compare to HON and MMM?
According to the Conglomerates industry distribution chart, Lien Hwa Industrial Holding ranks #162 out of 425 companies for Interest Coverage. This puts Lien Hwa Industrial Holding in the upper half of its industry. The industry median Interest Coverage is 5.33. Lien Hwa Industrial Holding's value of 8.06 is 51.2% above this benchmark. Historically, Lien Hwa Industrial Holding's own Interest Coverage has ranged from 5.65 to 17.35 over the past decade. While the company's 10-year median is 13.22 vs. the industry median of 5.33, Lien Hwa Industrial Holding 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 Conglomerates company?
The median Interest Coverage among Conglomerates companies is 5.33, based on 425 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. Lien Hwa Industrial Holding's current Interest Coverage of 8.06 is 51.2% 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 Lien Hwa Industrial Holding and its competitors. For the Conglomerates industry, the median Interest Coverage is 5.33 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lien Hwa Industrial Holding's current Interest Coverage is 8.06, which is 39% below median its own 10-year median of 13.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lien Hwa Industrial Holding stock overvalued right now?
Based on GuruFocus' analysis, Lien Hwa Industrial Holding (TPE:1229) is currently considered Modestly Undervalued. The stock's GF Value™ is NT$55.75, compared to a current price of NT$40.10 — trading 28.1% below its estimated fair value. The current Interest Coverage is 8.06, which is 39% below median its 10-year median of 13.22 and 51.2% above the Conglomerates industry median of 5.33. Lien Hwa Industrial Holding's overall GF Score™ is 87/100 with 3 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 Lien Hwa Industrial Holding (TPE:1229), the current Interest Coverage is 8.06 as of Dec. 2025. 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 Lien Hwa Industrial Holding (TPE:1229) Overvalued in 2026?

Based on GuruFocus' analysis, Lien Hwa Industrial Holding stock appears to be undervalued. The current stock price of NT$40.10 is trading 28.1% below its estimated GF Value™ of NT$55.75. GuruFocus considers Lien Hwa Industrial Holding to be Modestly Undervalued.

Key valuation signals for TPE:1229:

  • Interest Coverage: 8.06 (39% below median its 10-year median of 13.22)
  • GF Value™: NT$55.75 vs. price of NT$40.10 (28.1% below fair value)
  • GF Score™: 87/100 with 3 warning signs
  • Industry Position: 51.2% above the Conglomerates median (#162 of 425)

No single metric tells the full story. See the TPE:1229 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lien Hwa Industrial Holding Business Description

Address Nangang Road, 10 Floor, No. 209, Section 1, Nangang District, Taipei, TWN, 115
Lien Hwa Industrial Holding Corp is engaged in flour production, real estate rental, integrated system service, automatic system, and other electronic businesses. The company has four reportable segments. The rental business provides real property rental and development services. The Flour business manufactures and sells all kinds of Flour and processed foods. The system integration service business provides the system integration service, automatic system, applied software design and sale of industrial computer. The administrative resource center is responsible for the management of domestic/foreign investment business.
87GF Score

Get the complete analysis for TPE:1229

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

NT$40.10
Price
NT$55.75
GF Value