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Motion Technology Electric & Machinery Co (ROCO:4589) Debt-to-EBITDA : 3.80 (As of Dec. 2023)


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What is Motion Technology Electric & Machinery Co Debt-to-EBITDA?

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

Motion Technology Electric & Machinery Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was NT$72.6 Mil. Motion Technology Electric & Machinery Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was NT$232.3 Mil. Motion Technology Electric & Machinery Co's annualized EBITDA for the quarter that ended in Dec. 2023 was NT$80.3 Mil. Motion Technology Electric & Machinery Co's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 3.80.

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 Motion Technology Electric & Machinery Co's Debt-to-EBITDA or its related term are showing as below:

ROCO:4589' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 2.26   Med: 2.51   Max: 4.18
Current: 2.51

During the past 3 years, the highest Debt-to-EBITDA Ratio of Motion Technology Electric & Machinery Co was 4.18. The lowest was 2.26. And the median was 2.51.

ROCO:4589's Debt-to-EBITDA is ranked worse than
61.05% of 2290 companies
in the Industrial Products industry
Industry Median: 1.71 vs ROCO:4589: 2.51

Motion Technology Electric & Machinery Co Debt-to-EBITDA Historical Data

The historical data trend for Motion Technology Electric & Machinery Co'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.

Motion Technology Electric & Machinery Co Debt-to-EBITDA Chart

Motion Technology Electric & Machinery Co Annual Data
Trend Dec21 Dec22 Dec23
Debt-to-EBITDA
4.18 2.26 2.51

Motion Technology Electric & Machinery Co Semi-Annual Data
Dec21 Jun22 Dec22 Jun23 Dec23
Debt-to-EBITDA N/A - 2.09 1.42 3.80

Competitive Comparison of Motion Technology Electric & Machinery Co's Debt-to-EBITDA

For the Electrical Equipment & Parts subindustry, Motion Technology Electric & Machinery Co'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.


Motion Technology Electric & Machinery Co's Debt-to-EBITDA Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Motion Technology Electric & Machinery Co's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Motion Technology Electric & Machinery Co's Debt-to-EBITDA falls into.



Motion Technology Electric & Machinery Co Debt-to-EBITDA Calculation

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

Motion Technology Electric & Machinery Co'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
=(72.648 + 232.313) / 121.662
=2.51

Motion Technology Electric & Machinery Co'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
=(72.648 + 232.313) / 80.264
=3.80

* 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.


Motion Technology Electric & Machinery Co  (ROCO:4589) 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.


Motion Technology Electric & Machinery Co Debt-to-EBITDA Related Terms

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


Motion Technology Electric & Machinery Co (ROCO:4589) Business Description

Traded in Other Exchanges
N/A
Address
No. 72, Lane 76, Neiding 20th Street, Zhongli District, Taoyuan City, TWN, 320
Motion Technology Electric & Machinery Co Ltd engages in the design and production of high-precision motors for use in medical appliances, electric wheelchairs, mobility scooters, elevators, and transmission systems. Its products include brush DC motors, brushless DC motors, BLDC drivers, servo motors, induction motors, and reluctance motor control.

Motion Technology Electric & Machinery Co (ROCO:4589) Headlines

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