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Embecta (Embecta) Debt-to-EBITDA : 7.99 (As of Dec. 2023)


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What is Embecta Debt-to-EBITDA?

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

Embecta's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $13 Mil. Embecta's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $1,624 Mil. Embecta's annualized EBITDA for the quarter that ended in Dec. 2023 was $205 Mil. Embecta's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 7.99.

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

EMBC' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 4.91   Med: 5.8   Max: 7.89
Current: 7.89

During the past 5 years, the highest Debt-to-EBITDA Ratio of Embecta was 7.89. The lowest was 4.91. And the median was 5.80.

EMBC's Debt-to-EBITDA is ranked worse than
92.11% of 431 companies
in the Medical Devices & Instruments industry
Industry Median: 1.21 vs EMBC: 7.89

Embecta Debt-to-EBITDA Historical Data

The historical data trend for Embecta'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.

Embecta Debt-to-EBITDA Chart

Embecta Annual Data
Trend Sep19 Sep20 Sep21 Sep22 Sep23
Debt-to-EBITDA
- - - 4.91 6.68

Embecta Quarterly Data
Sep19 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 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 4.62 6.92 7.43 9.78 7.99

Competitive Comparison of Embecta's Debt-to-EBITDA

For the Medical Instruments & Supplies subindustry, Embecta'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.


Embecta's Debt-to-EBITDA Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Embecta's Debt-to-EBITDA distribution charts can be found below:

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



Embecta Debt-to-EBITDA Calculation

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

Embecta's Debt-to-EBITDA for the fiscal year 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
=(13.1 + 1625.4) / 245.3
=6.68

Embecta'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
=(13.2 + 1624) / 204.8
=7.99

* 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 (Dec. 2023) EBITDA data.


Embecta  (NAS:EMBC) 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.


Embecta Debt-to-EBITDA Related Terms

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


Embecta (Embecta) Business Description

Traded in Other Exchanges
Address
300 Kimball Drive, Suite 300, Parsippany, NJ, USA, 07054
Embecta Corp is a medical technology company. The company develops innovative technology, services, and solutions that help advance both clinical therapy for patients and clinical processes for healthcare providers. Its products include BD Pyxis, PureWick, Phasix among others.
Executives
David F Melcher director 1650 TYSONS BOULEVARD, SUITE 1700, MCLEAN VA 22102
Devdatt Kurdikar officer: President and CEO ONE BECTON DRIVE, FRANKLIN LAKES NJ 07417
Jacob Elguicze officer: Chief Financial Officer ONE BECTON DRIVE, FRANKLIN LAKES NJ 07417
Jeffrey Z Mann officer: SVP, GC, Head Corp. Dev., Secy 150 CLOVE ROAD, 9TH FLOOR, LITTLE FALLS NJ 07424
Jean Casner officer: Chief Human Resources Officer 150 CLOVE ROAD, LITTLE FALLS NJ 07424
Karen Prange director 1108 S RIO VISTA BLVD, FORT LAUDERDALE FL 33316
Ajay Kumar officer: SVP and CHRO C/O EMBECTA CORP., ONE BECTON DRIVE, FRANKLIN LAKES NJ 07417
Shaun Curtis officer: SVP, Global Manuf./Sup. Chain C/O EMBECTA CORP., ONE BECTON DRIVE, FRANKLIN LAKES NJ 07417
David Albritton director ONE BECTON DRIVE, FRANKLIN LAKES NJ 07417-1880
Milton Mayo Morris director 2121 ALLEN PARKWAY, APT 4075, HOUSTON TX 77019
Brian Capone officer: VP, CAO & Corp. Controller 150 CLOVE ROAD, 9TH FLOOR, LITTLE FALLS NJ 07424
Carrie L Anderson director 3005 HIGHLAND PARKWAY, SUITE 200, DOWNERS GROVE IL 60515
Claire Pomeroy director BECTON, DICKINSON AND COMPANY, 1 BECTON DRIVE, FRANKLIN LAKES NJ 07417
Christopher R Reidy director ONE ADP BLVD, ROSELAND NJ 07068
Robert J. Hombach director C/O BAXALTA INCORPORATED, 1200 LAKESIDE DRIVE, BANNOCKBURN IL 60015

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