Optare Solutions (XMAD:OPTS) Interest Coverage: 7.95 (As of Dec. 2025) — 85% Below Median

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XMAD:OPTS Optare Solutions SA XMAD:OPTS
21 GF Score
Price €7.30
! 4 Warning Signs
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What is Optare Solutions Interest Coverage?

Optare Solutions XMAD:OPTS 21 Interest Coverage is 7.95 as of Dec. 2025, which is 85% below its 10-year median of 52.85. GuruFocus rates XMAD:OPTS with a GF Score™ of 21/100. The stock has 4 warning signs investors should review. Among 283 Telecommunication Services companies, Optare Solutions ranks worse than 72.08% 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. Optare Solutions's Operating Income for the six months ended in Dec. 2025 was €0.31 Mil. Optare Solutions's Interest Expense for the six months ended in Dec. 2025 was €-0.04 Mil. Optare Solutions's interest coverage for the quarter that ended in Dec. 2025 was 7.95. The higher the ratio, the stronger the company's financial strength is.

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

XMAD:OPTS' s Interest Coverage Range Over the Past 10 Years
Min: 2.37   Med: 52.85   Max: 101.65
Current: 2.38


XMAD:OPTS's Interest Coverage is ranked worse than
72.08% of 283 companies
in the Telecommunication Services industry
Industry Median: 4.74 vs XMAD:OPTS: 2.38

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


Optare Solutions  (XMAD:OPTS) 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 .


Optare Solutions Interest Coverage Related Terms


Optare Solutions Interest Coverage Historical Data

* Premium members only.

The historical data trend for Optare Solutions'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.

Optare Solutions Interest Coverage Chart

Optare Solutions Annual Data
Trend Dec21 Dec22 Dec23 Dec24 Dec25
Interest Coverage
52.85 68.63 101.65 20.76 2.37

Optare Solutions Semi-Annual Data
Dec21 Dec22 Dec23 Jun24 Dec24 Jun25 Dec25
Interest Coverage Get a 7-Day Free Trial N/A 52.86 12.41 0.00 7.95

XMAD:OPTS vs TMUS, VZ, T: Interest Coverage Comparison

For the Telecom Services subindustry, Optare Solutions'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.


Optare Solutions Interest Coverage vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Optare Solutions's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Optare Solutions's Interest Coverage falls into.


XMAD:OPTS
21GF Score
Optare Solutions SA XMAD:OPTS
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
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Optare Solutions 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.

Optare Solutions'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, Optare Solutions's Interest Expense was €-0.06 Mil. Its Operating Income was €0.14 Mil. And its Long-Term Debt & Capital Lease Obligation was €0.13 Mil.

Interest Coverage=-1* Operating Income (A: Dec. 2025 )/Interest Expense (A: Dec. 2025 )
=-1*0.142/-0.06
=2.37

Optare Solutions's Interest Coverage for the quarter that ended in Dec. 2025 is calculated as

Here, for the six months ended in Dec. 2025, Optare Solutions's Interest Expense was €-0.04 Mil. Its Operating Income was €0.31 Mil. And its Long-Term Debt & Capital Lease Obligation was €0.13 Mil.

Interest Coverage=-1* Operating Income (Q: Dec. 2025 )/Interest Expense (Q: Dec. 2025 )
=-1*0.31/-0.039
=7.95

* 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 7.95 mean?
Optare Solutions (XMAD:OPTS) has a Interest Coverage of 7.95 as of Dec. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Optare Solutions and its competitors. This is 85% below median its historical median of 52.85. Over the past decade, Optare Solutions' Interest Coverage has ranged from 2.37 to 101.65. According to the industry distribution chart, Optare Solutions ranks #204 out of 283 companies in the Telecommunication Services industry, placing it in the top 72.1%.
Is Optare Solutions' Interest Coverage too high?
Optare Solutions' current Interest Coverage of 7.95 is 85% below median its 10-year median of 52.85. Over the past 10 years, this metric has ranged from a low of 2.37 to a high of 101.65. The Telecommunication Services industry median Interest Coverage is 4.74. Optare Solutions' value of 7.95 is 67.7% above this industry median. Based on the distribution chart, Optare Solutions ranks #204 out of 283 companies in the Telecommunication Services industry, which is below the industry midpoint. Overall, Optare Solutions has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does Optare Solutions' Interest Coverage compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, Optare Solutions ranks #204 out of 283 companies for Interest Coverage. This places Optare Solutions in the lower half of its industry. The industry median Interest Coverage is 4.74. Optare Solutions' value of 7.95 is 67.7% above this benchmark. Historically, Optare Solutions' own Interest Coverage has ranged from 2.37 to 101.65 over the past decade. While the company's 10-year median is 52.85 vs. the industry median of 4.74, Optare Solutions 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 Telecommunication Services company?
The median Interest Coverage among Telecommunication Services companies is 4.74, based on 283 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. Optare Solutions's current Interest Coverage of 7.95 is 67.7% 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 Optare Solutions and its competitors. For the Telecommunication Services industry, the median Interest Coverage is 4.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Optare Solutions's current Interest Coverage is 7.95, which is 85% below median its own 10-year median of 52.85. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Optare Solutions stock overvalued right now?
Optare Solutions (XMAD:OPTS) has a current Interest Coverage of 7.95. The current Interest Coverage is 7.95, which is 85% below median its 10-year median of 52.85 and 67.7% above the Telecommunication Services industry median of 4.74. Optare Solutions' overall GF Score™ is 21/100 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 Optare Solutions (XMAD:OPTS), the current Interest Coverage is 7.95 as of Dec. 2025. 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.

Optare Solutions Business Description

Address Parque tecnologico de Vigo Calle C nave C7, Vigo, ESP, 36315
Optare Solutions SA is an information technology consultancy specializing in providing services to the telecommunications sector. The group operates in Development and Implementation, Consulting and Architecture, and Maintenance and Operation.
21GF Score

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