Air Asia Co (TPE:2630) Interest Coverage: 6.13 (As of Mar. 2026) — 48% Above Median

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TPE:2630 Air Asia Co Ltd TPE:2630
83 GF Score
Price NT$53.30
GF Value NT$38.73
Valuation Significantly Overvalued
! 4 Warning Signs
View Full Analysis

What is Air Asia Co Interest Coverage?

Air Asia Co TPE:2630 +0.19% 83 Interest Coverage is 6.13 as of Mar. 2026, which is 48% above its 10-year median of 4.13. GuruFocus rates TPE:2630 with a GF Score™ of 83/100 and a GF Value™ of NT$38.73 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 243 Aerospace & Defense companies, Air Asia Co ranks worse than 50.62% 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. Air Asia Co's Operating Income for the three months ended in Mar. 2026 was NT$29 Mil. Air Asia Co's Interest Expense for the three months ended in Mar. 2026 was NT$-5 Mil. Air Asia Co's interest coverage for the quarter that ended in Mar. 2026 was 6.13. The higher the ratio, the stronger the company's financial strength is.

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

TPE:2630' s Interest Coverage Range Over the Past 10 Years
Min: 0.19   Med: 4.13   Max: 45.45
Current: 8.18


TPE:2630's Interest Coverage is ranked worse than
50.62% of 243 companies
in the Aerospace & Defense industry
Industry Median: 8.4 vs TPE:2630: 8.18

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


Air Asia Co  (TPE:2630) 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 .


Air Asia Co Interest Coverage Related Terms


Air Asia Co Interest Coverage Historical Data

* Premium members only.

The historical data trend for Air Asia 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.

Air Asia Co Interest Coverage Chart

Air Asia Co 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 0.19 1.23 2.41 5.33 7.84

Air Asia Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 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 5.49 9.80 9.96 4.93 6.13

TPE:2630 vs SPCX, GE, RTX: Interest Coverage Comparison

For the Aerospace & Defense subindustry, Air Asia 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.


Air Asia Co Interest Coverage vs Aerospace & Defense Industry

For the Aerospace & Defense industry and Industrials sector, Air Asia Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Air Asia Co's Interest Coverage falls into.


TPE:2630
83GF Score
Air Asia Co Ltd TPE:2630
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Air Asia 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.

Air Asia Co'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, Air Asia Co's Interest Expense was NT$-38 Mil. Its Operating Income was NT$299 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$408 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*299.435/-38.175
=7.84

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

Here, for the three months ended in Mar. 2026, Air Asia Co's Interest Expense was NT$-5 Mil. Its Operating Income was NT$29 Mil. And its Long-Term Debt & Capital Lease Obligation was NT$685 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*29.208/-4.762
=6.13

* 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 6.13 mean?
Air Asia Co (TPE:2630) has a Interest Coverage of 6.13 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Air Asia Co and its competitors. This is 48% above median its historical median of 4.13. Over the past decade, Air Asia Co's Interest Coverage has ranged from 0.19 to 45.45. According to the industry distribution chart, Air Asia Co ranks #123 out of 243 companies in the Aerospace & Defense industry, placing it in the top 50.6%.
Is Air Asia Co's Interest Coverage too high?
Air Asia Co's current Interest Coverage of 6.13 is 48% above median its 10-year median of 4.13. Over the past 10 years, this metric has ranged from a low of 0.19 to a high of 45.45. The Aerospace & Defense industry median Interest Coverage is 8.40. Air Asia Co's value of 6.13 is 27% below this industry median. Based on the distribution chart, Air Asia Co ranks #123 out of 243 companies in the Aerospace & Defense industry, which is below the industry midpoint. Overall, Air Asia Co has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Air Asia Co's Interest Coverage compare to SPCX and GE?
According to the Aerospace & Defense industry distribution chart, Air Asia Co ranks #123 out of 243 companies for Interest Coverage. This places Air Asia Co in the lower half of its industry. The industry median Interest Coverage is 8.40. Air Asia Co's value of 6.13 is 27% below this benchmark. Historically, Air Asia Co's own Interest Coverage has ranged from 0.19 to 45.45 over the past decade. While the company's 10-year median is 4.13 vs. the industry median of 8.40, Air Asia 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 an Aerospace & Defense company?
The median Interest Coverage among Aerospace & Defense companies is 8.40, based on 243 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. Air Asia Co's current Interest Coverage of 6.13 is 27% 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 Air Asia Co and its competitors. For the Aerospace & Defense industry, the median Interest Coverage is 8.40 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Air Asia Co's current Interest Coverage is 6.13, which is 48% above median its own 10-year median of 4.13. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Air Asia Co stock overvalued right now?
Based on GuruFocus' analysis, Air Asia Co (TPE:2630) is currently considered Significantly Overvalued. The stock's GF Value™ is NT$38.73, compared to a current price of NT$53.30 — trading 37.6% above its estimated fair value. The current Interest Coverage is 6.13, which is 48% above median its 10-year median of 4.13 and 27% below the Aerospace & Defense industry median of 8.40. Air Asia Co's overall GF Score™ is 83/100 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 Air Asia Co (TPE:2630), the current Interest Coverage is 6.13 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 Air Asia Co (TPE:2630) Overvalued in 2026?

Based on GuruFocus' analysis, Air Asia Co stock appears to be overvalued. The current stock price of NT$53.30 is trading 37.6% above its estimated GF Value™ of NT$38.73. GuruFocus considers Air Asia Co to be Significantly Overvalued.

Key valuation signals for TPE:2630:

  • Interest Coverage: 6.13 (48% above median its 10-year median of 4.13)
  • GF Value™: NT$38.73 vs. price of NT$53.30 (37.6% above fair value)
  • GF Score™: 83/100 with 4 warning signs
  • Industry Position: 27% below the Aerospace & Defense median (#123 of 243)

No single metric tells the full story. See the TPE:2630 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Air Asia Co Business Description

Address Jichang Road, No. 1050, Rende District, Next to Tainan Airport, Tainan Terminal, Tainan, TWN, 717206
Air Asia Co Ltd provides maintenance, renovation, upgrades, and integrated logistic support services for the aircraft and related components. It offers various services such as aircraft structure damage repair, airframe modification and retrofit, helicopter maintenance services, inspection, repair, and overhaul for various aircraft avionics/hydraulic/mechanical components, distributing parts and components, etc. Geographically, the Group generates maximum revenue from Taiwan, and the rest from Asia (excluding Taiwan), and other markets.
83GF Score

Get the complete analysis for TPE:2630

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

NT$53.30
Price
NT$38.73
GF Value