Axiata Group BhdXKLS:6888 62 Interest Coverage is 2.31 as of Mar. 2026, which is 18% above its 10-year median of 1.96. GuruFocus rates XKLS:6888 with a GF Score™ of 62/100 and a GF Value™ of RM1.79 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 284 Telecommunication Services companies, Axiata Group Bhd ranks worse than 84.86% 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. Axiata Group Bhd's
Operating Income
for the
three
months ended in Mar. 2026 was RM608 Mil. Axiata Group Bhd's Interest Expense for the
three
months ended in Mar. 2026 was RM-263 Mil.
Axiata Group Bhd's interest coverage for the quarter that ended in Mar. 2026 was 2.31.
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. Axiata Group Bhd interest coverage is 1.49, which is low.
The historical rank and industry rank for Axiata Group Bhd's Interest Coverage or its related term are showing as below:
XKLS:6888'
s Interest Coverage Range Over the Past 10 Years
Min: 1.38 Med: 1.96 Max: 3.44
Current: 1.49
XKLS:6888's Interest Coverage is ranked worse than 84.86% of 284
companies
in the Telecommunication Services industry
Industry Median: 4.685
vs XKLS:6888: 1.49
Axiata Group Bhd (XKLS:6888) 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 .
Axiata Group Bhd Interest Coverage Related Terms
Axiata Group Bhd Interest Coverage Historical Data
* Premium members only.
The historical data trend for Axiata Group 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.
XKLS:6888 vs TMUS, VZ, T: Interest Coverage Comparison
For the Telecom Services subindustry, Axiata Group 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.
Axiata Group Bhd Interest Coverage vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Axiata Group Bhd's Interest Coverage distribution charts can be found below:
* The bar in red indicates where Axiata Group Bhd's Interest Coverage falls into.
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:
* 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.
Axiata Group Bhd (XKLS:6888) has a Interest Coverage of 2.31 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Axiata Group Bhd and its competitors. This is 18% above median its historical median of 1.96. Over the past decade, Axiata Group Bhd's Interest Coverage has ranged from 1.38 to 3.44. According to the industry distribution chart, Axiata Group Bhd ranks #241 out of 284 companies in the Telecommunication Services industry, placing it in the top 84.9%.
Is Axiata Group Bhd's Interest Coverage too high?
Axiata Group Bhd's current Interest Coverage of 2.31 is 18% above median its 10-year median of 1.96. Over the past 10 years, this metric has ranged from a low of 1.38 to a high of 3.44. The Telecommunication Services industry median Interest Coverage is 4.69. Axiata Group Bhd's value of 2.31 is 50.7% below this industry median. Based on the distribution chart, Axiata Group Bhd ranks #241 out of 284 companies in the Telecommunication Services industry, which is in the bottom quartile relative to peers. Overall, Axiata Group Bhd has a GF Score™ of 62/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Axiata Group Bhd's Interest Coverage compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Axiata Group Bhd ranks #241 out of 284 companies for Interest Coverage. This places Axiata Group Bhd in the lower half of its industry. The industry median Interest Coverage is 4.69. Axiata Group Bhd's value of 2.31 is 50.7% below this benchmark. Historically, Axiata Group Bhd's own Interest Coverage has ranged from 1.38 to 3.44 over the past decade. While the company's 10-year median is 1.96 vs. the industry median of 4.69, Axiata Group Bhd 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 Telecommunication Services company?
The median Interest Coverage among Telecommunication Services companies is 4.69, based on 284 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. Axiata Group Bhd's current Interest Coverage of 2.31 is 50.7% 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 Axiata Group Bhd and its competitors. For the Telecommunication Services industry, the median Interest Coverage is 4.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Axiata Group Bhd's current Interest Coverage is 2.31, which is 18% above median its own 10-year median of 1.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Axiata Group Bhd stock overvalued right now?
Based on GuruFocus' analysis, Axiata Group Bhd (XKLS:6888) is currently considered Modestly Overvalued. The stock's GF Value™ is RM1.79, compared to a current price of RM2.11 — trading 17.9% above its estimated fair value. The current Interest Coverage is 2.31, which is 18% above median its 10-year median of 1.96 and 50.7% below the Telecommunication Services industry median of 4.69. Axiata Group Bhd's overall GF Score™ is 62/100 with 6 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 Axiata Group Bhd (XKLS:6888), the current Interest Coverage is 2.31 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 Axiata Group Bhd (XKLS:6888) Overvalued in 2026?
Based on GuruFocus' analysis, Axiata Group Bhd stock appears to be overvalued.
The current stock price of RM2.11 is trading 17.9% above its estimated GF Value™ of RM1.79.
GuruFocus considers Axiata Group Bhd to be Modestly Overvalued.
Key valuation signals for XKLS:6888:
Interest Coverage: 2.31 (18% above median its 10-year median of 1.96)
GF Value™: RM1.79 vs. price of RM2.11 (17.9% above fair value)
Industry Position: 50.7% below the Telecommunication Services median (#241 of 284)
No single metric tells the full story. See the XKLS:6888 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Axiata Group Bhd is a telecommunications company. The business segment of the company is the Digital telco/Mobile segment, which includes the provision of mobile services and other services such as the provision of interconnect services, sale of devices, pay television transmission services, broadband services, digital business, and others; the Digital segment is engaged in the multimedia advertising, creative content, e-commerce enablement; Infrastructure segment is engaged in the provision of telecommunication infrastructure and related services; and Others comprise investment holding entities, financing entities and other operating companies providing other services including digital business and fibre optic transmission.
62GF Score
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