EG Industries Bhd (XKLS:8907) Interest Coverage: 6.55 (As of Mar. 2026) — 113% Above Median


XKLS:8907 EG Industries Bhd XKLS:8907
67 GF Score
Price RM1.80
GF Value RM1.21
Valuation Significantly Overvalued
! 11 Warning Signs
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What is EG Industries Bhd Interest Coverage?

EG Industries Bhd XKLS:8907 -2.70% 67 Interest Coverage is 6.55 as of Mar. 2026, which is 113% above its 10-year median of 3.08. GuruFocus rates XKLS:8907 with a GF Score™ of 67/100 and a GF Value™ of RM1.21 (Significantly Overvalued). The stock has 11 warning signs investors should review. Among 1,672 Hardware companies, EG Industries Bhd ranks worse than 69.98% 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. EG Industries Bhd's Operating Income for the three months ended in Mar. 2026 was RM47 Mil. EG Industries Bhd's Interest Expense for the three months ended in Mar. 2026 was RM-7 Mil. EG Industries Bhd's interest coverage for the quarter that ended in Mar. 2026 was 6.55. The higher the ratio, the stronger the company's financial strength is.

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

XKLS:8907' s Interest Coverage Range Over the Past 10 Years
Min: 2.7   Med: 3.08   Max: 6.08
Current: 6.08


XKLS:8907's Interest Coverage is ranked worse than
69.98% of 1672 companies
in the Hardware industry
Industry Median: 13.73 vs XKLS:8907: 6.08

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


EG Industries Bhd  (XKLS:8907) 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 .


EG Industries Bhd Interest Coverage Related Terms


EG Industries Bhd Interest Coverage Historical Data

* Premium members only.

The historical data trend for EG Industries 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.

EG Industries Bhd Interest Coverage Chart

EG Industries Bhd Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.71 2.94 3.16 2.70 3.24

EG Industries Bhd 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 3.87 4.37 7.14 7.11 6.55

XKLS:8907 vs APH, GLW, TEL: Interest Coverage Comparison

For the Electronic Components subindustry, EG Industries 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.


EG Industries Bhd Interest Coverage vs Hardware Industry

For the Hardware industry and Technology sector, EG Industries Bhd's Interest Coverage distribution charts can be found below:

* The bar in red indicates where EG Industries Bhd's Interest Coverage falls into.


XKLS:8907
67GF Score
EG Industries Bhd XKLS:8907
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

EG Industries 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.

EG Industries Bhd's Interest Coverage for the fiscal year that ended in Jun. 2025 is calculated as

Here, for the fiscal year that ended in Jun. 2025, EG Industries Bhd's Interest Expense was RM-36 Mil. Its Operating Income was RM116 Mil. And its Long-Term Debt & Capital Lease Obligation was RM149 Mil.

Interest Coverage=-1* Operating Income (A: Jun. 2025 )/Interest Expense (A: Jun. 2025 )
=-1*115.935/-35.782
=3.24

EG Industries Bhd's Interest Coverage for the quarter that ended in Mar. 2026 is calculated as

Here, for the three months ended in Mar. 2026, EG Industries Bhd's Interest Expense was RM-7 Mil. Its Operating Income was RM47 Mil. And its Long-Term Debt & Capital Lease Obligation was RM149 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2026 )/Interest Expense (Q: Mar. 2026 )
=-1*46.706/-7.126
=6.55

* 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 6.55 mean?
EG Industries Bhd (XKLS:8907) has a Interest Coverage of 6.55 as of Mar. 2026. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on EG Industries Bhd and its competitors. This is 113% above median its historical median of 3.08. Over the past decade, EG Industries Bhd's Interest Coverage has ranged from 2.70 to 6.08. According to the industry distribution chart, EG Industries Bhd ranks #1170 out of 1672 companies in the Hardware industry, placing it in the top 70%.
Is EG Industries Bhd's Interest Coverage too high?
EG Industries Bhd's current Interest Coverage of 6.55 is 113% above median its 10-year median of 3.08. Over the past 10 years, this metric has ranged from a low of 2.70 to a high of 6.08. The Hardware industry median Interest Coverage is 13.73. EG Industries Bhd's value of 6.55 is 52.3% below this industry median. Based on the distribution chart, EG Industries Bhd ranks #1170 out of 1672 companies in the Hardware industry, which is below the industry midpoint. Overall, EG Industries Bhd has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does EG Industries Bhd's Interest Coverage compare to APH and GLW?
According to the Hardware industry distribution chart, EG Industries Bhd ranks #1170 out of 1672 companies for Interest Coverage. This places EG Industries Bhd in the lower half of its industry. The industry median Interest Coverage is 13.73. EG Industries Bhd's value of 6.55 is 52.3% below this benchmark. Historically, EG Industries Bhd's own Interest Coverage has ranged from 2.70 to 6.08 over the past decade. While the company's 10-year median is 3.08 vs. the industry median of 13.73, EG Industries 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 Hardware company?
The median Interest Coverage among Hardware companies is 13.73, based on 1,672 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. EG Industries Bhd's current Interest Coverage of 6.55 is 52.3% 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 EG Industries Bhd and its competitors. For the Hardware industry, the median Interest Coverage is 13.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. EG Industries Bhd's current Interest Coverage is 6.55, which is 113% above median its own 10-year median of 3.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is EG Industries Bhd stock overvalued right now?
Based on GuruFocus' analysis, EG Industries Bhd (XKLS:8907) is currently considered Significantly Overvalued. The stock's GF Value™ is RM1.21, compared to a current price of RM1.80 — trading 48.8% above its estimated fair value. The current Interest Coverage is 6.55, which is 113% above median its 10-year median of 3.08 and 52.3% below the Hardware industry median of 13.73. EG Industries Bhd's overall GF Score™ is 67/100 with 11 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 EG Industries Bhd (XKLS:8907), the current Interest Coverage is 6.55 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 EG Industries Bhd (XKLS:8907) Overvalued in 2026?

Based on GuruFocus' analysis, EG Industries Bhd stock appears to be overvalued. The current stock price of RM1.80 is trading 48.8% above its estimated GF Value™ of RM1.21. GuruFocus considers EG Industries Bhd to be Significantly Overvalued.

Key valuation signals for XKLS:8907:

  • Interest Coverage: 6.55 (113% above median its 10-year median of 3.08)
  • GF Value™: RM1.21 vs. price of RM1.80 (48.8% above fair value)
  • GF Score™: 67/100 with 11 warning signs
  • Industry Position: 52.3% below the Hardware median (#1170 of 1672)

No single metric tells the full story. See the XKLS:8907 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


EG Industries Bhd Business Description

Address Jalan 4, Plot 102, Bakar Arang Industrial Estate, Sungai Petani, KDH, MYS, 8000
EG Industries Bhd is an investment holding company, which engages in the provision of management services. Along with its subsidiaries, the company operates through the following segments: Electronic Manufacturing Services and Original Equipment Manufacturer/Original Design Manufacturer for Electronic and Electrical Products; and Other Non-reportable segments. The Other Non-reportable segment comprises operations related to investment holding and research and development. The company offers manufacturing services for computer peripherals, consumer electronic/electrical products, medical equipment, automotive industrial products, and telecommunication and other technological products industries. Geographically, it derives maximum revenue from Thailand.
67GF Score

Get the complete analysis for XKLS:8907

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

RM1.80
Price
RM1.21
GF Value