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Embark Early Education (ASX:EVO) Debt-to-EBITDA : 7.11 (As of Dec. 2023)


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What is Embark Early Education Debt-to-EBITDA?

Debt-to-EBITDA measures a company's ability to pay off its debt.

Embark Early Education's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was A$5.84 Mil. Embark Early Education's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was A$62.24 Mil. Embark Early Education's annualized EBITDA for the quarter that ended in Dec. 2023 was A$9.58 Mil. Embark Early Education's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 7.11.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for Embark Early Education's Debt-to-EBITDA or its related term are showing as below:

ASX:EVO' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -310.88   Med: 3.5   Max: 13.42
Current: 5.18

During the past 8 years, the highest Debt-to-EBITDA Ratio of Embark Early Education was 13.42. The lowest was -310.88. And the median was 3.50.

ASX:EVO's Debt-to-EBITDA is ranked worse than
80.77% of 182 companies
in the Education industry
Industry Median: 1.66 vs ASX:EVO: 5.18

Embark Early Education Debt-to-EBITDA Historical Data

The historical data trend for Embark Early Education's Debt-to-EBITDA 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.

* Premium members only.

Embark Early Education Debt-to-EBITDA Chart

Embark Early Education Annual Data
Trend Mar16 Mar17 Mar18 Mar19 Mar20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial -0.59 -310.88 13.42 5.25 5.13

Embark Early Education Semi-Annual Data
Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Debt-to-EBITDA 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 40.77 7.92 -33.70 4.32 7.11

Competitive Comparison of Embark Early Education's Debt-to-EBITDA

For the Education & Training Services subindustry, Embark Early Education's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA 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.


Embark Early Education's Debt-to-EBITDA Distribution in the Education Industry

For the Education industry and Consumer Defensive sector, Embark Early Education's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Embark Early Education's Debt-to-EBITDA falls into.



Embark Early Education Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

Embark Early Education's Debt-to-EBITDA for the fiscal year that ended in Dec. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(5.837 + 62.238) / 13.274
=5.13

Embark Early Education's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(5.837 + 62.238) / 9.576
=7.11

* 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.

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is two times the quarterly (Dec. 2023) EBITDA data.


Embark Early Education  (ASX:EVO) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.


Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.


Embark Early Education Debt-to-EBITDA Related Terms

Thank you for viewing the detailed overview of Embark Early Education's Debt-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


Embark Early Education (ASX:EVO) Business Description

Traded in Other Exchanges
N/A
Address
120-122 Siganto Drive, Suite 102, Level 1, M1 Connect Business Hub, Helensvale, Gold Coast, QLD, AUS, 4212
Embark Early Education Ltd is a company that is engaged in the provision and management of an early childhood education service that gives parents and caregivers the option of which service suits their child's learning and care needs. The Group reports operating segments by geographical location, namely New Zealand and Australia. The majority of revenue is from the New Zealand segment. The principal activities of the Company include the management of high-quality early childhood education centres.