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Molex, (LSE:MOLA) Debt-to-EBITDA : 0.50 (As of Sep. 2013)


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What is Molex, Debt-to-EBITDA?

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

Molex,'s Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2013 was $42 Mil. Molex,'s Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2013 was $315 Mil. Molex,'s annualized EBITDA for the quarter that ended in Sep. 2013 was $721 Mil. Molex,'s annualized Debt-to-EBITDA for the quarter that ended in Sep. 2013 was 0.50.

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

LSE:MOLA' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0   Med: 0   Max: 0.59
Current: 0.59

During the past 13 years, the highest Debt-to-EBITDA Ratio of Molex, was 0.59. The lowest was 0.00. And the median was 0.00.

LSE:MOLA's Debt-to-EBITDA is not ranked
in the Hardware industry.
Industry Median: 1.8 vs LSE:MOLA: 0.59

Molex, Debt-to-EBITDA Historical Data

The historical data trend for Molex,'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.

Molex, Debt-to-EBITDA Chart

Molex, Annual Data
Trend Jun04 Jun05 Jun06 Jun07 Jun08 Jun09 Jun10 Jun11 Jun12 Jun13
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only -2.70 0.78 0.51 0.40 0.62

Molex, Quarterly Data
Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13
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 0.35 0.52 0.85 0.64 0.50

Competitive Comparison of Molex,'s Debt-to-EBITDA

For the Electronic Components subindustry, Molex,'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.


Molex,'s Debt-to-EBITDA Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Molex,'s Debt-to-EBITDA distribution charts can be found below:

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



Molex, Debt-to-EBITDA Calculation

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

Molex,'s Debt-to-EBITDA for the fiscal year that ended in Jun. 2013 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(54.283 + 310) / 587.019
=0.62

Molex,'s annualized Debt-to-EBITDA for the quarter that ended in Sep. 2013 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(42.458 + 315) / 721.468
=0.50

* 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. 2013) EBITDA data.


Molex,  (LSE:MOLA) 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.


Molex, Debt-to-EBITDA Related Terms

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


Molex, (LSE:MOLA) Business Description

Traded in Other Exchanges
N/A
Address
Molex, Inc. was incorporated in the state of Delaware in 1972 and originated from an enterprise established in 1938. The Company designs, manufactures and sells terminals, connectors, cable assemblies, interconnection systems, sockets, antennas, integrated products and switches. As of June 30, 2013, it operated 41 manufacturing locations in 15 countries. The Company's competitors include Amphenol Corporation, Delphi Automotive PLC, Hirose Electronic Co., Ltd., Hon Hai Precision Industry Co., Ltd., Japan Aviation Electronics Industry, Ltd., Japan Solderless Terminal Ltd. and TE Connectivity Ltd. The principal raw materials that we purchase for the manufacture of our products include plastic resins for molding, metal alloys (primarily copper based) for stamping and gold and palladium salts for use in the plating process.

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