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Salon City (Salon City) Debt-to-EBITDA : -0.82 (As of Sep. 2008)


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What is Salon City Debt-to-EBITDA?

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

Salon City's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2008 was $0.03 Mil. Salon City's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2008 was $0.10 Mil. Salon City's annualized EBITDA for the quarter that ended in Sep. 2008 was $-0.15 Mil. Salon City's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2008 was -0.82.

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

SALN's Debt-to-EBITDA is not ranked *
in the Media - Diversified industry.
Industry Median: 1.69
* Ranked among companies with meaningful Debt-to-EBITDA only.

Salon City Debt-to-EBITDA Historical Data

The historical data trend for Salon City'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.

Salon City Debt-to-EBITDA Chart

Salon City Annual Data
Trend Dec06 Dec07
Debt-to-EBITDA
-0.02 -0.13

Salon City Quarterly Data
Mar07 Jun07 Sep07 Dec07 Mar08 Jun08 Sep08
Debt-to-EBITDA Get a 7-Day Free Trial -0.20 -0.09 -0.60 -1.07 -0.82

Competitive Comparison of Salon City's Debt-to-EBITDA

For the Publishing subindustry, Salon City'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.


Salon City's Debt-to-EBITDA Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Salon City's Debt-to-EBITDA distribution charts can be found below:

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



Salon City Debt-to-EBITDA Calculation

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

Salon City's Debt-to-EBITDA for the fiscal year that ended in Dec. 2007 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.082 + 0.024) / -0.807
=-0.13

Salon City's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2008 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(0.025 + 0.1) / -0.152
=-0.82

* 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. 2008) EBITDA data.


Salon City  (OTCPK:SALN) 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.


Salon City Debt-to-EBITDA Related Terms

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


Salon City (Salon City) Business Description

Traded in Other Exchanges
N/A
Address
909 North Palm Avenue, Suite 311, West Hollywood, CA, USA, 90069
Salon City Inc is engaged in the beauty industry through its media and network. Geographically the business presence of the group are seen in United States and internationally.

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