GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Manufacturing - Apparel & Accessories » Arezzo Industria E Comercio SA (BSP:ARZZ3) » Definitions » Debt-to-EBITDA

Arezzo Industria E Comercio (BSP:ARZZ3) Debt-to-EBITDA : 2.50 (As of Mar. 2024)


View and export this data going back to 2011. Start your Free Trial

What is Arezzo Industria E Comercio Debt-to-EBITDA?

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

Arezzo Industria E Comercio's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was R$842 Mil. Arezzo Industria E Comercio's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was R$722 Mil. Arezzo Industria E Comercio's annualized EBITDA for the quarter that ended in Mar. 2024 was R$627 Mil. Arezzo Industria E Comercio's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was 2.50.

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 Arezzo Industria E Comercio's Debt-to-EBITDA or its related term are showing as below:

BSP:ARZZ3' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.51   Med: 0.97   Max: 5.33
Current: 1.99

During the past 13 years, the highest Debt-to-EBITDA Ratio of Arezzo Industria E Comercio was 5.33. The lowest was 0.51. And the median was 0.97.

BSP:ARZZ3's Debt-to-EBITDA is ranked better than
58.64% of 810 companies
in the Manufacturing - Apparel & Accessories industry
Industry Median: 2.81 vs BSP:ARZZ3: 1.99

Arezzo Industria E Comercio Debt-to-EBITDA Historical Data

The historical data trend for Arezzo Industria E Comercio'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.

Arezzo Industria E Comercio Debt-to-EBITDA Chart

Arezzo Industria E Comercio Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.31 5.33 1.39 1.11 2.15

Arezzo Industria E Comercio Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 2.55 2.04 1.66 1.97 2.50

Competitive Comparison of Arezzo Industria E Comercio's Debt-to-EBITDA

For the Footwear & Accessories subindustry, Arezzo Industria E Comercio'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.


Arezzo Industria E Comercio's Debt-to-EBITDA Distribution in the Manufacturing - Apparel & Accessories Industry

For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, Arezzo Industria E Comercio's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Arezzo Industria E Comercio's Debt-to-EBITDA falls into.



Arezzo Industria E Comercio Debt-to-EBITDA Calculation

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

Arezzo Industria E Comercio'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
=(989.876 + 606.433) / 741.63
=2.15

Arezzo Industria E Comercio's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(841.934 + 721.765) / 626.556
=2.50

* 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 (Mar. 2024) EBITDA data.


Arezzo Industria E Comercio  (BSP:ARZZ3) 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.


Arezzo Industria E Comercio Debt-to-EBITDA Related Terms

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


Arezzo Industria E Comercio (BSP:ARZZ3) Business Description

Traded in Other Exchanges
N/A
Address
Rua Fernandes Tourinho, 147 - sala 402, Rooms 1301 and 1303, Belo Horizonte, MG, BRA, 30112000
Arezzo Industria e Comercio S.A. together with its subsidiaries engages in the manufacturing, development, molding, and sale of footwear, bags, and women's clothing and accessories. It operates more than 400 franchises and approximately 48 stores and an e-commerce website for the sale of products under the brand names Schutz, Arezzo, Alexandre Birman, Fiever, Vans, Reserva, Reserva Mini, Reserva Go, Oficina, INK, EVA, Troc, Baw, MyShoes, Carol Bassi, Brizza, Reversa, Simples Reserva, Unbrand Reserva and Anacapri. The company derives revenue through the sale of products and Royalty income.

Arezzo Industria E Comercio (BSP:ARZZ3) Headlines

No Headlines