TongHwa (TPE:1418) Interest Coverage: 0 (At Loss) (As of Dec. 2025)


TPE:1418 TongHwa Corp TPE:1418
41 GF Score
Price NT$19.20
GF Value NT$10.78
Valuation Significantly Overvalued
! 10 Warning Signs
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What is TongHwa Interest Coverage?

TongHwa TPE:1418 41 Interest Coverage is 0 (At Loss) as of Dec. 2025. GuruFocus rates TPE:1418 with a GF Score™ of 41/100 and a GF Value™ of NT$10.78 (Significantly Overvalued). The stock has 10 warning signs investors should review. Among 733 Manufacturing - Apparel & Accessories companies, TongHwa ranks worse than 136425.51% 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. TongHwa's Operating Income for the three months ended in Dec. 2025 was NT$-17.12 Mil. TongHwa's Interest Expense for the three months ended in Dec. 2025 was NT$-20.93 Mil. did not have earnings to cover the interest expense. The higher the ratio, the stronger the company's financial strength is.

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


TPE:1418's Interest Coverage is not ranked *
in the Manufacturing - Apparel & Accessories industry.
Industry Median: 5.45
* Ranked among companies with meaningful Interest Coverage only.

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


TongHwa  (TPE:1418) 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 .


TongHwa Interest Coverage Related Terms


TongHwa Interest Coverage Historical Data

* Premium members only.

The historical data trend for TongHwa'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.

TongHwa Interest Coverage Chart

TongHwa 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 0.00 0.00 0.00 0.00 0.00

TongHwa 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 0.00 0.00 0.00 0.00 0.00

TongHwa Interest Coverage Competitor Comparison

For the Textile Manufacturing subindustry, TongHwa'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.


TongHwa Interest Coverage vs Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, TongHwa's Interest Coverage distribution charts can be found below:

* The bar in red indicates where TongHwa's Interest Coverage falls into.


TPE:1418
41GF Score
TongHwa Corp TPE:1418
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

TongHwa 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.

TongHwa'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, TongHwa's Interest Expense was NT$-96.26 Mil. Its Operating Income was NT$-74.81 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$135.32 Mil.

TongHwa did not have earnings to cover the interest expense.

TongHwa's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the three months ended in Dec. 2025, TongHwa's Interest Expense was NT$-20.93 Mil. Its Operating Income was NT$-17.12 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$135.32 Mil.

TongHwa did not have earnings to cover the interest expense.

* 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 0 (At Loss) mean?
TongHwa (TPE:1418) has a Interest Coverage of 0 (At Loss) as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on TongHwa and its competitors. According to the industry distribution chart, TongHwa ranks #999999 out of 733 companies in the Manufacturing - Apparel & Accessories industry.
Is TongHwa's Interest Coverage too high?
TongHwa's current Interest Coverage is 0 (At Loss). Based on the distribution chart, TongHwa ranks #999999 out of 733 companies in the Manufacturing - Apparel & Accessories industry, which is in the bottom quartile relative to peers. Overall, TongHwa has a GF Score™ of 41/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does TongHwa's Interest Coverage compare to competitors?
According to the Manufacturing - Apparel & Accessories industry distribution chart, TongHwa ranks #999999 out of 733 companies for Interest Coverage. This places TongHwa in the lower half of its industry. The industry median Interest Coverage is 5.45. 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 Manufacturing - Apparel & Accessories company?
The median Interest Coverage among Manufacturing - Apparel & Accessories companies is 5.45, based on 733 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. 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 TongHwa and its competitors. For the Manufacturing - Apparel & Accessories industry, the median Interest Coverage is 5.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TongHwa's current Interest Coverage is 0 (At Loss). However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TongHwa stock overvalued right now?
Based on GuruFocus' analysis, TongHwa (TPE:1418) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$10.78, compared to a current price of NT$19.20 — trading 78.1% above its estimated fair value. The current Interest Coverage is 0 (At Loss). TongHwa's overall GF Score™ is 41/100 with 10 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 TongHwa (TPE:1418), the current Interest Coverage is 0 (At Loss) 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 TongHwa (TPE:1418) Overvalued in 2026?

Based on GuruFocus' analysis, TongHwa stock appears to be overvalued. The current stock price of NT$19.20 is trading 78.1% above its estimated GF Value™ of NT$10.78. GuruFocus considers TongHwa to be Significantly Overvalued.

Key valuation signals for TPE:1418:

  • Interest Coverage: 0 (At Loss)
  • GF Value™: NT$10.78 vs. price of NT$19.20 (78.1% above fair value)
  • GF Score™: 41/100 with 10 warning signs

No single metric tells the full story. See the TPE:1418 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


TongHwa Business Description

Address Xinsheng South Road, 9th Floor, No. 56, Section 1, Zhongzheng District, Taipei, TWN, 100014
TongHwa Corp is a Taiwan-based company. The company manufactures and distributes acrylic fibers. It offers high shrinkage, fine denier, flat type, super soft, and anti-pilling fibers that are used in apparel comprising sweaters, women's wear, and children's wear. Its products include sweaters, flannel, blankets, carpets, sofa fabrics, socks, toys, and interior accessories. The reportable segments of the Group include the purchase and sale of Acrylic Staple and Tow, as well as residential and building development, leasing, and sales.
41GF Score

Get the complete analysis for TPE:1418

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

NT$19.20
Price
NT$10.78
GF Value