China Steel (TPE:2002) Interest Coverage: 0.30 (As of Dec. 2025) — 95% Below Median


TPE:2002 China Steel Corp TPE:2002
65 GF Score
Price NT$19.05
GF Value NT$20.73
Valuation Fairly Valued
! 8 Warning Signs
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What is China Steel Interest Coverage?

China Steel TPE:2002 -1.55% 65 Interest Coverage is 0.30 as of Dec. 2025, which is 95% below its 10-year median of 6.66. GuruFocus rates TPE:2002 with a GF Score™ of 65/100 and a GF Value™ of NT$20.73 (Fairly Valued). The stock has 8 warning signs investors should review. Among 459 Steel companies, China Steel ranks worse than 217864.71% 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. China Steel's Operating Income for the three months ended in Dec. 2025 was NT$387 Mil. China Steel's Interest Expense for the three months ended in Dec. 2025 was NT$-1,276 Mil. China Steel's interest coverage for the quarter that ended in Dec. 2025 was 0.30. The higher the ratio, the stronger the company's financial strength is.

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


TPE:2002's Interest Coverage is not ranked *
in the Steel industry.
Industry Median: 4.48
* 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.


China Steel  (TPE:2002) 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 .


China Steel Interest Coverage Related Terms


China Steel Interest Coverage Historical Data

* Premium members only.

The historical data trend for China Steel'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.

China Steel Interest Coverage Chart

China Steel 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 45.36 7.33 0.99 0.45 0.00

China Steel 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 0.79 1.10 0.00 0.00 0.30

TPE:2002 vs NUE, STLD, RS: Interest Coverage Comparison

For the Steel subindustry, China Steel'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.


China Steel Interest Coverage vs Steel Industry

For the Steel industry and Basic Materials sector, China Steel's Interest Coverage distribution charts can be found below:

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


TPE:2002
65GF Score
China Steel Corp TPE:2002
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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China Steel 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.

China Steel'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, China Steel's Interest Expense was NT$-5,054 Mil. Its Operating Income was NT$-3,877 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$192,585 Mil.

China Steel did not have earnings to cover the interest expense.

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

Here, for the three months ended in Dec. 2025, China Steel's Interest Expense was NT$-1,276 Mil. Its Operating Income was NT$387 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$192,585 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*387.433/-1275.698
=0.30

* 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 0.30 mean?
China Steel (TPE:2002) has a Interest Coverage of 0.30 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on China Steel and its competitors. This is 95% below median its historical median of 6.66. According to the industry distribution chart, China Steel ranks #999999 out of 459 companies in the Steel industry.
Is China Steel's Interest Coverage too high?
China Steel's current Interest Coverage of 0.30 is 95% below median its 10-year median of 6.66. The Steel industry median Interest Coverage is 4.48. China Steel's value of 0.30 is 93.3% below this industry median. Based on the distribution chart, China Steel ranks #999999 out of 459 companies in the Steel industry, which is in the bottom quartile relative to peers. Overall, China Steel has a GF Score™ of 65/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does China Steel's Interest Coverage compare to NUE and STLD?
According to the Steel industry distribution chart, China Steel ranks #999999 out of 459 companies for Interest Coverage. This places China Steel in the lower half of its industry. The industry median Interest Coverage is 4.48. China Steel's value of 0.30 is 93.3% below this benchmark. While the company's 10-year median is 6.66 vs. the industry median of 4.48, China Steel 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 Steel company?
The median Interest Coverage among Steel companies is 4.48, based on 459 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. China Steel's current Interest Coverage of 0.30 is 93.3% 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 China Steel and its competitors. For the Steel industry, the median Interest Coverage is 4.48 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. China Steel's current Interest Coverage is 0.30, which is 95% below median its own 10-year median of 6.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is China Steel stock overvalued right now?
Based on GuruFocus' analysis, China Steel (TPE:2002) is currently considered Fairly Valued. The stock's GF Value™ is NT$20.73, compared to a current price of NT$19.05 — trading 8.1% below its estimated fair value. The current Interest Coverage is 0.30, which is 95% below median its 10-year median of 6.66 and 93.3% below the Steel industry median of 4.48. China Steel's overall GF Score™ is 65/100 with 8 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 China Steel (TPE:2002), the current Interest Coverage is 0.30 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 China Steel (TPE:2002) Overvalued in 2026?

Based on GuruFocus' analysis, China Steel stock appears to be undervalued. The current stock price of NT$19.05 is trading 8.1% below its estimated GF Value™ of NT$20.73. GuruFocus considers China Steel to be Fairly Valued.

Key valuation signals for TPE:2002:

  • Interest Coverage: 0.30 (95% below median its 10-year median of 6.66)
  • GF Value™: NT$20.73 vs. price of NT$19.05 (8.1% below fair value)
  • GF Score™: 65/100 with 8 warning signs
  • Industry Position: 93.3% below the Steel median (#999999 of 459)

No single metric tells the full story. See the TPE:2002 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


China Steel Business Description

Other Exchanges 2002A:TaiwanCNS:Germany
Address No. 1, Chung Kang Road, Hsiao Kang, Kaohsiung, TWN, 81233
China Steel Corp is a steelmaker in Taiwan. It manufactures and sells steel products and engages in mechanical, communications, and electrical engineering. The company's product portfolio includes plates, bars, wire rods, hot and cold rolled coils, electro-galvanized coils, electrical steel coils, and hot-dip galvanized coils. Along with its subsidiaries, the company operates in the following reportable segments: Steel Department and Non-Steel Department. A majority of its revenue is generated from the Steel department segment, which manufactures and sells steel products. Geographically, the company derives maximum revenue from Taiwan, followed by Vietnam, Malaysia, India, China, and other regions.
65GF Score

Get the complete analysis for TPE:2002

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

NT$19.05
Price
NT$20.73
GF Value