Sanima Mai Hydropower (XNEP:SHPC) Interest Coverage: 4.70 (As of Jul. 2025) — 64% Above Median


XNEP:SHPC Sanima Mai Hydropower Ltd XNEP:SHPC
75 GF Score
Price NPR485.00
GF Value NPR231.68
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Sanima Mai Hydropower Interest Coverage?

Sanima Mai Hydropower XNEP:SHPC -1.26% 75 Interest Coverage is 4.70 as of Jul. 2025, which is 64% above its 10-year median of 2.86. GuruFocus rates XNEP:SHPC with a GF Score™ of 75/100 and a GF Value™ of NPR231.68 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 321 Utilities - Independent Power Producers companies, Sanima Mai Hydropower ranks better than 72.59% 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. Sanima Mai Hydropower's Operating Income for the six months ended in Jul. 2025 was NPR132.0 Mil. Sanima Mai Hydropower's Interest Expense for the six months ended in Jul. 2025 was NPR-28.1 Mil. Sanima Mai Hydropower's interest coverage for the quarter that ended in Jul. 2025 was 4.70. The higher the ratio, the stronger the company's financial strength is.

The historical rank and industry rank for Sanima Mai Hydropower's Interest Coverage or its related term are showing as below:

XNEP:SHPC' s Interest Coverage Range Over the Past 10 Years
Min: 0.89   Med: 2.86   Max: 5.84
Current: 5.84


XNEP:SHPC's Interest Coverage is ranked better than
72.59% of 321 companies
in the Utilities - Independent Power Producers industry
Industry Median: 2.77 vs XNEP:SHPC: 5.84

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


Sanima Mai Hydropower  (XNEP:SHPC) 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 .


Sanima Mai Hydropower Interest Coverage Related Terms


Sanima Mai Hydropower Interest Coverage Historical Data

* Premium members only.

The historical data trend for Sanima Mai Hydropower'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.

Sanima Mai Hydropower Interest Coverage Chart

Sanima Mai Hydropower Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.23 4.60 4.04 4.46 5.84

Sanima Mai Hydropower Semi-Annual Data
Jan16 Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24 Jan25 Jul25
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 2.00 7.15 2.06 6.65 4.70

Sanima Mai Hydropower Interest Coverage Competitor Comparison

For the Utilities - Renewable subindustry, Sanima Mai Hydropower'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.


Sanima Mai Hydropower Interest Coverage vs Utilities - Independent Power Producers Industry

For the Utilities - Independent Power Producers industry and Utilities sector, Sanima Mai Hydropower's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Sanima Mai Hydropower's Interest Coverage falls into.


XNEP:SHPC
75GF Score
Sanima Mai Hydropower Ltd XNEP:SHPC
Interest Coverage is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Sanima Mai Hydropower 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.

Sanima Mai Hydropower's Interest Coverage for the fiscal year that ended in Jul. 2025 is calculated as

Here, for the fiscal year that ended in Jul. 2025, Sanima Mai Hydropower's Interest Expense was NPR-68.1 Mil. Its Operating Income was NPR398.2 Mil. And its Long-Term Debt & Capital Lease Obligation was NPR122.0 Mil.

Interest Coverage=-1* Operating Income (A: Jul. 2025 )/Interest Expense (A: Jul. 2025 )
=-1*398.202/-68.142
=5.84

Sanima Mai Hydropower's Interest Coverage for the quarter that ended in Jul. 2025 is calculated as

Here, for the six months ended in Jul. 2025, Sanima Mai Hydropower's Interest Expense was NPR-28.1 Mil. Its Operating Income was NPR132.0 Mil. And its Long-Term Debt & Capital Lease Obligation was NPR122.0 Mil.

Interest Coverage=-1* Operating Income (Q: Jul. 2025 )/Interest Expense (Q: Jul. 2025 )
=-1*131.984/-28.08
=4.70

* 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 4.70 mean?
Sanima Mai Hydropower (XNEP:SHPC) has a Interest Coverage of 4.70 as of Jul. 2025. Interest Coverage measures a company's capability to pay interest expenses on its debt. View historical data on Sanima Mai Hydropower and its competitors. This is 64% above median its historical median of 2.86. Over the past decade, Sanima Mai Hydropower's Interest Coverage has ranged from 0.89 to 5.84. According to the industry distribution chart, Sanima Mai Hydropower ranks #88 out of 321 companies in the Utilities - Independent Power Producers industry, placing it in the top 27.4%.
Is Sanima Mai Hydropower's Interest Coverage too high?
Sanima Mai Hydropower's current Interest Coverage of 4.70 is 64% above median its 10-year median of 2.86. Over the past 10 years, this metric has ranged from a low of 0.89 to a high of 5.84. The Utilities - Independent Power Producers industry median Interest Coverage is 2.77. Sanima Mai Hydropower's value of 4.70 is 69.7% above this industry median. Based on the distribution chart, Sanima Mai Hydropower ranks #88 out of 321 companies in the Utilities - Independent Power Producers industry, which is above the industry midpoint. Overall, Sanima Mai Hydropower has a GF Score™ of 75/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sanima Mai Hydropower's Interest Coverage compare to competitors?
According to the Utilities - Independent Power Producers industry distribution chart, Sanima Mai Hydropower ranks #88 out of 321 companies for Interest Coverage. This puts Sanima Mai Hydropower in the upper half of its industry. The industry median Interest Coverage is 2.77. Sanima Mai Hydropower's value of 4.70 is 69.7% above this benchmark. Historically, Sanima Mai Hydropower's own Interest Coverage has ranged from 0.89 to 5.84 over the past decade. While the company's 10-year median is 2.86 vs. the industry median of 2.77, Sanima Mai Hydropower 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 an Utilities - Independent Power Producers company?
The median Interest Coverage among Utilities - Independent Power Producers companies is 2.77, based on 321 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. Sanima Mai Hydropower's current Interest Coverage of 4.70 is 69.7% 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 Sanima Mai Hydropower and its competitors. For the Utilities - Independent Power Producers industry, the median Interest Coverage is 2.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sanima Mai Hydropower's current Interest Coverage is 4.70, which is 64% above median its own 10-year median of 2.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sanima Mai Hydropower stock overvalued right now?
Based on GuruFocus' analysis, Sanima Mai Hydropower (XNEP:SHPC) is currently considered Significantly Overvalued. The stock's GF Value™ is NPR231.68, compared to a current price of NPR485.00 — trading 109.3% above its estimated fair value. The current Interest Coverage is 4.70, which is 64% above median its 10-year median of 2.86 and 69.7% above the Utilities - Independent Power Producers industry median of 2.77. Sanima Mai Hydropower's overall GF Score™ is 75/100 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 Sanima Mai Hydropower (XNEP:SHPC), the current Interest Coverage is 4.70 as of Jul. 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.

Is Sanima Mai Hydropower (XNEP:SHPC) Overvalued in 2026?

Based on GuruFocus' analysis, Sanima Mai Hydropower stock appears to be overvalued. The current stock price of NPR485.00 is trading 109.3% above its estimated GF Value™ of NPR231.68. GuruFocus considers Sanima Mai Hydropower to be Significantly Overvalued.

Key valuation signals for XNEP:SHPC:

  • Interest Coverage: 4.70 (64% above median its 10-year median of 2.86)
  • GF Value™: NPR231.68 vs. price of NPR485.00 (109.3% above fair value)
  • GF Score™: 75/100 with 5 warning signs
  • Industry Position: 69.7% above the Utilities - Independent Power Producers median (#88 of 321)

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


Sanima Mai Hydropower Business Description

Address KMC-4, Shankha Park, Dhumbarahi, P.O. Box 19737, Kathamandu, NPL
Sanima Mai Hydropower Ltd is a hydropower company. Its activity is to generate and sell hydroelectricity to the Nepal Electricity Authority. The company's operating segment include Mai Hydropower Plant and Mai Cascade Hydropower Plant. It generates maximum revenue from the Mai Hydropower Plant segment. The Mai Hydropower Project is a run-of-the-river hydropower plant with an installed capacity of 22MW.
75GF Score

Get the complete analysis for XNEP:SHPC

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

NPR485.00
Price
NPR231.68
GF Value