Smart Asia Chemical Bhd (XKLS:0306) Interest Coverage: 15.75 (As of Mar. 2026) — 15% Above Median


XKLS:0306 Smart Asia Chemical Bhd XKLS:0306
31 GF Score
Price RM0.18
! 7 Warning Signs
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What is Smart Asia Chemical Bhd Interest Coverage?

Smart Asia Chemical Bhd XKLS:0306 +2.94% 31 Interest Coverage is 15.75 as of Mar. 2026, which is 15% above its 10-year median of 13.75. GuruFocus rates XKLS:0306 with a GF Score™ of 31/100. The stock has 7 warning signs investors should review. Among 1,234 Chemicals companies, Smart Asia Chemical Bhd ranks worse than 63.94% 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. Smart Asia Chemical Bhd's Operating Income for the three months ended in Mar. 2026 was RM4.22 Mil. Smart Asia Chemical Bhd's Interest Expense for the three months ended in Mar. 2026 was RM-0.27 Mil. Smart Asia Chemical Bhd's interest coverage for the quarter that ended in Mar. 2026 was 15.75. The higher the ratio, the stronger the company's financial strength is.

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

XKLS:0306' s Interest Coverage Range Over the Past 10 Years
Min: 2.92   Med: 13.75   Max: 28.6
Current: 5.47


XKLS:0306's Interest Coverage is ranked worse than
63.94% of 1234 companies
in the Chemicals industry
Industry Median: 10.18 vs XKLS:0306: 5.47

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


Smart Asia Chemical Bhd  (XKLS:0306) 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 .


Smart Asia Chemical Bhd Interest Coverage Related Terms


Smart Asia Chemical Bhd Interest Coverage Historical Data

* Premium members only.

The historical data trend for Smart Asia Chemical Bhd'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.

Smart Asia Chemical Bhd Interest Coverage Chart

Smart Asia Chemical Bhd Annual Data
Trend Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
Get a 7-Day Free Trial 28.60 22.42 10.02 3.52 2.92

Smart Asia Chemical Bhd Quarterly Data
Dec20 Dec21 Dec22 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 5.65 0.06 2.16 3.27 15.75

XKLS:0306 vs LIN, SHW, ECL: Interest Coverage Comparison

For the Specialty Chemicals subindustry, Smart Asia Chemical Bhd'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.


Smart Asia Chemical Bhd Interest Coverage vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, Smart Asia Chemical Bhd's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Smart Asia Chemical Bhd's Interest Coverage falls into.


XKLS:0306
31GF Score
Smart Asia Chemical Bhd XKLS:0306
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Smart Asia Chemical Bhd 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.

Smart Asia Chemical Bhd'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, Smart Asia Chemical Bhd's Interest Expense was RM-1.00 Mil. Its Operating Income was RM2.91 Mil. And its Long-Term Debt & Capital Lease Obligation was RM18.05 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*2.91/-0.997
=2.92

Smart Asia Chemical Bhd's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Smart Asia Chemical Bhd's Interest Expense was RM-0.27 Mil. Its Operating Income was RM4.22 Mil. And its Long-Term Debt & Capital Lease Obligation was RM22.47 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*4.222/-0.268
=15.75

* 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 15.75 mean?
Smart Asia Chemical Bhd (XKLS:0306) has a Interest Coverage of 15.75 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Smart Asia Chemical Bhd and its competitors. This is 15% above median its historical median of 13.75. Over the past decade, Smart Asia Chemical Bhd's Interest Coverage has ranged from 2.92 to 28.60. According to the industry distribution chart, Smart Asia Chemical Bhd ranks #789 out of 1234 companies in the Chemicals industry, placing it in the top 63.9%.
Is Smart Asia Chemical Bhd's Interest Coverage too high?
Smart Asia Chemical Bhd's current Interest Coverage of 15.75 is 15% above median its 10-year median of 13.75. Over the past 10 years, this metric has ranged from a low of 2.92 to a high of 28.60. The Chemicals industry median Interest Coverage is 10.18. Smart Asia Chemical Bhd's value of 15.75 is 54.7% above this industry median. Based on the distribution chart, Smart Asia Chemical Bhd ranks #789 out of 1234 companies in the Chemicals industry, which is below the industry midpoint. Overall, Smart Asia Chemical Bhd has a GF Score™ of 31/100, reflecting its overall financial health beyond just this single metric.
How does Smart Asia Chemical Bhd's Interest Coverage compare to LIN and SHW?
According to the Chemicals industry distribution chart, Smart Asia Chemical Bhd ranks #789 out of 1234 companies for Interest Coverage. This places Smart Asia Chemical Bhd in the lower half of its industry. The industry median Interest Coverage is 10.18. Smart Asia Chemical Bhd's value of 15.75 is 54.7% above this benchmark. Historically, Smart Asia Chemical Bhd's own Interest Coverage has ranged from 2.92 to 28.60 over the past decade. While the company's 10-year median is 13.75 vs. the industry median of 10.18, Smart Asia Chemical Bhd 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 Chemicals company?
The median Interest Coverage among Chemicals companies is 10.18, based on 1,234 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. Smart Asia Chemical Bhd's current Interest Coverage of 15.75 is 54.7% 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 Smart Asia Chemical Bhd and its competitors. For the Chemicals industry, the median Interest Coverage is 10.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Smart Asia Chemical Bhd's current Interest Coverage is 15.75, which is 15% above median its own 10-year median of 13.75. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Smart Asia Chemical Bhd stock overvalued right now?
Smart Asia Chemical Bhd (XKLS:0306) has a current Interest Coverage of 15.75. The current Interest Coverage is 15.75, which is 15% above median its 10-year median of 13.75 and 54.7% above the Chemicals industry median of 10.18. Smart Asia Chemical Bhd's overall GF Score™ is 31/100 with 7 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 Smart Asia Chemical Bhd (XKLS:0306), the current Interest Coverage is 15.75 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.

Smart Asia Chemical Bhd Business Description

Address No. 11, Jalan Indah Gemilang 5, Taman Perindustrian Gemilang, Ulu Tiram, JHR, MYS, 81800
Smart Asia Chemical Bhd is an investment holding company. Through its subsidiaries, it is involved in the development, manufacturing, distribution, and sale of decorative paints and protective coatings for household and industrial applications. Also involved in the development, manufacturing, distribution and sale of related products, namely colourants, and binding and coating chemicals; sale and trading of painting tools and accessories, aerosol spray paints and other related products to complement decorative paints and protective coatings offerings, ODM services of decorative paints, protective coatings as well as binding and coating chemicals for third party brand owners. Company has three segments manufacturing, sale and trading and other.
31GF Score

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

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