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Empiric Student Property (LSE:ESP) Debt-to-EBITDA : 4.85 (As of Dec. 2023)


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What is Empiric Student Property Debt-to-EBITDA?

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

Empiric Student Property's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was £56.60 Mil. Empiric Student Property's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was £301.20 Mil. Empiric Student Property's annualized EBITDA for the quarter that ended in Dec. 2023 was £73.80 Mil. Empiric Student Property's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 4.85.

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 Empiric Student Property's Debt-to-EBITDA or its related term are showing as below:

LSE:ESP' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -32.63   Med: 5.15   Max: 9.52
Current: 5.08

During the past 9 years, the highest Debt-to-EBITDA Ratio of Empiric Student Property was 9.52. The lowest was -32.63. And the median was 5.15.

LSE:ESP's Debt-to-EBITDA is ranked better than
70.33% of 509 companies
in the REITs industry
Industry Median: 7.23 vs LSE:ESP: 5.08

Empiric Student Property Debt-to-EBITDA Historical Data

The historical data trend for Empiric Student Property'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.

Empiric Student Property Debt-to-EBITDA Chart

Empiric Student Property Annual Data
Trend Jun15 Jun16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only 5.22 -32.63 9.01 4.71 5.08

Empiric Student Property Semi-Annual Data
Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 Premium Member Only Premium Member Only 6.57 2.62 38.02 5.44 4.85

Competitive Comparison of Empiric Student Property's Debt-to-EBITDA

For the REIT - Residential subindustry, Empiric Student Property'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.


Empiric Student Property's Debt-to-EBITDA Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Empiric Student Property's Debt-to-EBITDA distribution charts can be found below:

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



Empiric Student Property Debt-to-EBITDA Calculation

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

Empiric Student Property'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
=(56.6 + 301.2) / 70.4
=5.08

Empiric Student Property'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
=(56.6 + 301.2) / 73.8
=4.85

* 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.


Empiric Student Property  (LSE:ESP) 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.


Empiric Student Property Debt-to-EBITDA Related Terms

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


Empiric Student Property (LSE:ESP) Business Description

Traded in Other Exchanges
N/A
Address
72 Borough High Street, 1st Floor Hop Yard Studios, London, GBR, SE1 1XF
Empiric Student Property PLC is a real estate company. It is engaged in investing in and managing premium purpose-built student accommodation in central locations in prime university cities and towns in the United Kingdom. Its investment portfolio includes Centro Court, Canal Bridge, Brook Studios, James House, and Edge Apartments among others. The company earns operating revenue from student accommodation rental.

Empiric Student Property (LSE:ESP) Headlines