Sentral REIT (XKLS:5123) Interest Coverage: 2.43 (As of Mar. 2026) — 20% Below Median


XKLS:5123 Sentral REIT XKLS:5123
46 GF Score
Price RM0.71
GF Value RM0.80
Valuation Modestly Undervalued
! 5 Warning Signs
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What is Sentral REIT Interest Coverage?

Sentral REIT XKLS:5123 46 Interest Coverage is 2.43 as of Mar. 2026, which is 20% below its 10-year median of 3.02. GuruFocus rates XKLS:5123 with a GF Score™ of 46/100 and a GF Value™ of RM0.80 (Modestly Undervalued). The stock has 5 warning signs investors should review. Among 701 REITs companies, Sentral REIT ranks worse than 60.49% 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. Sentral REIT's Operating Income for the three months ended in Mar. 2026 was RM31.0 Mil. Sentral REIT's Interest Expense for the three months ended in Mar. 2026 was RM-12.8 Mil. Sentral REIT's interest coverage for the quarter that ended in Mar. 2026 was 2.43. The higher the ratio, the stronger the company's financial strength is.

Warning Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Sentral REIT interest coverage is 2.45, which is low.

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

XKLS:5123' s Interest Coverage Range Over the Past 10 Years
Min: 2.45   Med: 3.02   Max: 3.58
Current: 2.45


XKLS:5123's Interest Coverage is ranked worse than
60.49% of 701 companies
in the REITs industry
Industry Median: 3.12 vs XKLS:5123: 2.45

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


Sentral REIT  (XKLS:5123) 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 .


Sentral REIT Interest Coverage Related Terms


Sentral REIT Interest Coverage Historical Data

* Premium members only.

The historical data trend for Sentral REIT'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.

Sentral REIT Interest Coverage Chart

Sentral REIT 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 3.58 3.39 2.99 2.54 2.49

Sentral REIT 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 2.47 2.57 2.54 2.26 2.43

XKLS:5123 vs BXP, ARE, VNO: Interest Coverage Comparison

For the REIT - Office subindustry, Sentral REIT'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.


Sentral REIT Interest Coverage vs REITs Industry

For the REITs industry and Real Estate sector, Sentral REIT's Interest Coverage distribution charts can be found below:

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


XKLS:5123
46GF Score
Sentral REIT XKLS:5123
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sentral REIT 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.

Sentral REIT'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, Sentral REIT's Interest Expense was RM-51.4 Mil. Its Operating Income was RM127.9 Mil. And its Long-Term Debt & Capital Lease Obligation was RM832.3 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*127.881/-51.361
=2.49

Sentral REIT's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, Sentral REIT's Interest Expense was RM-12.8 Mil. Its Operating Income was RM31.0 Mil. And its Long-Term Debt & Capital Lease Obligation was RM702.5 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*31.032/-12.769
=2.43

* 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 2.43 mean?
Sentral REIT (XKLS:5123) has a Interest Coverage of 2.43 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sentral REIT and its competitors. This is 20% below median its historical median of 3.02. Over the past decade, Sentral REIT's Interest Coverage has ranged from 2.45 to 3.58. According to the industry distribution chart, Sentral REIT ranks #424 out of 701 companies in the REITs industry, placing it in the top 60.5%.
Is Sentral REIT's Interest Coverage too high?
Sentral REIT's current Interest Coverage of 2.43 is 20% below median its 10-year median of 3.02. Over the past 10 years, this metric has ranged from a low of 2.45 to a high of 3.58. The REITs industry median Interest Coverage is 3.12. Sentral REIT's value of 2.43 is 22.1% below this industry median. Based on the distribution chart, Sentral REIT ranks #424 out of 701 companies in the REITs industry, which is below the industry midpoint. Overall, Sentral REIT has a GF Score™ of 46/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Sentral REIT's Interest Coverage compare to BXP and ARE?
According to the REITs industry distribution chart, Sentral REIT ranks #424 out of 701 companies for Interest Coverage. This places Sentral REIT in the lower half of its industry. The industry median Interest Coverage is 3.12. Sentral REIT's value of 2.43 is 22.1% below this benchmark. Historically, Sentral REIT's own Interest Coverage has ranged from 2.45 to 3.58 over the past decade. While the company's 10-year median is 3.02 vs. the industry median of 3.12, Sentral REIT 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 REITs company?
The median Interest Coverage among REITs companies is 3.12, based on 701 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. Sentral REIT's current Interest Coverage of 2.43 is 22.1% 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 Sentral REIT and its competitors. For the REITs industry, the median Interest Coverage is 3.12 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sentral REIT's current Interest Coverage is 2.43, which is 20% below median its own 10-year median of 3.02. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sentral REIT stock overvalued right now?
Based on GuruFocus' analysis, Sentral REIT (XKLS:5123) is currently considered Modestly Undervalued. The stock's GF Value™ is RM0.80, compared to a current price of RM0.71 — trading 11.3% below its estimated fair value. The current Interest Coverage is 2.43, which is 20% below median its 10-year median of 3.02 and 22.1% below the REITs industry median of 3.12. Sentral REIT's overall GF Score™ is 46/100 with 5 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 Sentral REIT (XKLS:5123), the current Interest Coverage is 2.43 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 Sentral REIT (XKLS:5123) Overvalued in 2026?

Based on GuruFocus' analysis, Sentral REIT stock appears to be undervalued. The current stock price of RM0.71 is trading 11.3% below its estimated GF Value™ of RM0.80. GuruFocus considers Sentral REIT to be Modestly Undervalued.

Key valuation signals for XKLS:5123:

  • Interest Coverage: 2.43 (20% below median its 10-year median of 3.02)
  • GF Value™: RM0.80 vs. price of RM0.71 (11.3% below fair value)
  • GF Score™: 46/100 with 5 warning signs
  • Industry Position: 22.1% below the REITs median (#424 of 701)

No single metric tells the full story. See the XKLS:5123 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Sentral REIT Business Description

Industry Real EstateREITs
Address Jalan Stesen Sentral 2, G27A, Level 3A, Block B, Platinum Sentral, Kuala Lumpur Sentral, Kuala Lumpur, MYS, 50470
Sentral REIT is a real estate investment trust. The company is engaged in the acquisition of an investment in commercial properties including office, retail assets, and car parks. The properties of the company includes Cyberjaya, Petaling Jaya, Kuala Lumpur, Mont' Kiara, KL Sentral, and Penang.
46GF Score

Get the complete analysis for XKLS:5123

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

RM0.71
Price
RM0.80
GF Value