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Shree Digvijay Cement Co (BOM:502180) Interest Coverage : 668.03 (As of Mar. 2024)


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What is Shree Digvijay Cement Co Interest Coverage?

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. Shree Digvijay Cement Co's Operating Income for the three months ended in Mar. 2024 was ₹397 Mil. Shree Digvijay Cement Co's Interest Expense for the three months ended in Mar. 2024 was ₹-1 Mil. Shree Digvijay Cement Co's interest coverage for the quarter that ended in Mar. 2024 was 668.03. The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Ben Graham prefers companies' interest coverage to be at least 5. Shree Digvijay Cement Co Ltd has enough cash to cover all of its debt. Its financial situation is stable.

The historical rank and industry rank for Shree Digvijay Cement Co's Interest Coverage or its related term are showing as below:

BOM:502180' s Interest Coverage Range Over the Past 10 Years
Min: 1.01   Med: 49.2   Max: No Debt
Current: 52.43


BOM:502180's Interest Coverage is ranked better than
83.06% of 307 companies
in the Building Materials industry
Industry Median: 6.59 vs BOM:502180: 52.43

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


Shree Digvijay Cement Co Interest Coverage Historical Data

The historical data trend for Shree Digvijay Cement Co'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.

* Premium members only.

Shree Digvijay Cement Co Interest Coverage Chart

Shree Digvijay Cement Co Annual Data
Trend Dec14 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24
Interest Coverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 49.06 63.22 93.83 49.20 52.43

Shree Digvijay Cement Co Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 2,130.37 32.34 11.75 65.31 668.03

Competitive Comparison of Shree Digvijay Cement Co's Interest Coverage

For the Building Materials subindustry, Shree Digvijay Cement Co'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.


Shree Digvijay Cement Co's Interest Coverage Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Shree Digvijay Cement Co's Interest Coverage distribution charts can be found below:

* The bar in red indicates where Shree Digvijay Cement Co's Interest Coverage falls into.



Shree Digvijay Cement Co 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.

Shree Digvijay Cement Co's Interest Coverage for the fiscal year that ended in Mar. 2024 is calculated as

Here, for the fiscal year that ended in Mar. 2024, Shree Digvijay Cement Co's Interest Expense was ₹-21 Mil. Its Operating Income was ₹1,110 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹0 Mil.

Interest Coverage=-1* Operating Income (A: Mar. 2024 )/Interest Expense (A: Mar. 2024 )
=-1*1110.261/-21.177
=52.43

Shree Digvijay Cement Co's Interest Coverage for the quarter that ended in Mar. 2024 is calculated as

Here, for the three months ended in Mar. 2024, Shree Digvijay Cement Co's Interest Expense was ₹-1 Mil. Its Operating Income was ₹397 Mil. And its Long-Term Debt & Capital Lease Obligation was ₹0 Mil.

Interest Coverage=-1* Operating Income (Q: Mar. 2024 )/Interest Expense (Q: Mar. 2024 )
=-1*397.479/-0.595
=668.03

* 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.


Shree Digvijay Cement Co  (BOM:502180) 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 .


Shree Digvijay Cement Co Interest Coverage Related Terms

Thank you for viewing the detailed overview of Shree Digvijay Cement Co's Interest Coverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Shree Digvijay Cement Co (BOM:502180) Business Description

Traded in Other Exchanges
Address
P.O. Digvijaygram, Jamnagar, GJ, IND, 361140
Shree Digvijay Cement Co Ltd is an India-based company. It is mainly involved in cement and clinker manufacturing. The company manufactures cement under the brand name KAMAL, also manufacturing some special cement-like oil well cement, Sulphate resisting Portland cement, and manufacturing cement. The company mainly operates in India. The majority of its revenue comes from the sales of cement and clinker products.

Shree Digvijay Cement Co (BOM:502180) Headlines

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