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Telecomunicacoes Brasileiras (BSP:TELB3) Debt-to-EBITDA : 1.11 (As of Sep. 2023)


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What is Telecomunicacoes Brasileiras Debt-to-EBITDA?

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

Telecomunicacoes Brasileiras's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2023 was R$51.4 Mil. Telecomunicacoes Brasileiras's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2023 was R$67.0 Mil. Telecomunicacoes Brasileiras's annualized EBITDA for the quarter that ended in Sep. 2023 was R$106.7 Mil. Telecomunicacoes Brasileiras's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2023 was 1.11.

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 Telecomunicacoes Brasileiras's Debt-to-EBITDA or its related term are showing as below:

BSP:TELB3' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -13.25   Med: 0.48   Max: 3.15
Current: 0.43

During the past 13 years, the highest Debt-to-EBITDA Ratio of Telecomunicacoes Brasileiras was 3.15. The lowest was -13.25. And the median was 0.48.

BSP:TELB3's Debt-to-EBITDA is ranked better than
88.25% of 315 companies
in the Telecommunication Services industry
Industry Median: 2.14 vs BSP:TELB3: 0.43

Telecomunicacoes Brasileiras Debt-to-EBITDA Historical Data

The historical data trend for Telecomunicacoes Brasileiras'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.

Telecomunicacoes Brasileiras Debt-to-EBITDA Chart

Telecomunicacoes Brasileiras Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only -13.25 3.15 1.50 0.90 0.48

Telecomunicacoes Brasileiras Quarterly Data
Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Sep23
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 Premium Member Only Premium Member Only Premium Member Only 0.55 0.52 0.33 0.27 1.11

Competitive Comparison of Telecomunicacoes Brasileiras's Debt-to-EBITDA

For the Telecom Services subindustry, Telecomunicacoes Brasileiras'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.


Telecomunicacoes Brasileiras's Debt-to-EBITDA Distribution in the Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Telecomunicacoes Brasileiras's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Telecomunicacoes Brasileiras's Debt-to-EBITDA falls into.



Telecomunicacoes Brasileiras Debt-to-EBITDA Calculation

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

Telecomunicacoes Brasileiras's Debt-to-EBITDA for the fiscal year that ended in Dec. 2022 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(51.963 + 101.504) / 320.948
=0.48

Telecomunicacoes Brasileiras's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(51.394 + 67.048) / 106.668
=1.11

* 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 four times the quarterly (Sep. 2023) EBITDA data.


Telecomunicacoes Brasileiras  (BSP:TELB3) 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.


Telecomunicacoes Brasileiras Debt-to-EBITDA Related Terms

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


Telecomunicacoes Brasileiras (BSP:TELB3) Business Description

Traded in Other Exchanges
Address
Commercial Sector South - Quadra 09 - Bloco B, Rooms 301-405, Building Corporate Park City - Tower B, Brasilia, DF, BRA, 70308200
Telecomunicacoes Brasileiras SA is a Brazil-based company. Along with its subsidiaries, the firm offers telecommunication services in the areas of fixed line and mobile communication and internet access services. Its product portfolio includes IP (Internet Protocol) Telebras, Telebras Point-to-Point, and Telebras MPLS (Multiprotocol Label Switching) Network. The company also provides broadband services and infrastructure support services.

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