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Nippon Paper Group, (TSE:3893) Debt-to-EBITDA : 43.31 (As of Dec. 2012)


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What is Nippon Paper Group, Debt-to-EBITDA?

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

Nippon Paper Group,'s Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2012 was 円229,546 Mil. Nippon Paper Group,'s Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2012 was 円597,435 Mil. Nippon Paper Group,'s annualized EBITDA for the quarter that ended in Dec. 2012 was 円19,096 Mil. Nippon Paper Group,'s annualized Debt-to-EBITDA for the quarter that ended in Dec. 2012 was 43.31.

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

TSE:3893's Debt-to-EBITDA is not ranked *
in the Forest Products industry.
Industry Median: 3.41
* Ranked among companies with meaningful Debt-to-EBITDA only.

Nippon Paper Group, Debt-to-EBITDA Historical Data

The historical data trend for Nippon Paper Group,'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.

Nippon Paper Group, Debt-to-EBITDA Chart

Nippon Paper Group, Annual Data
Trend Mar03 Mar04 Mar05 Mar06 Mar07 Mar08 Mar09 Mar10 Mar11 Mar12
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.21 7.46 5.96 7.11 7.44

Nippon Paper Group, Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12
Debt-to-EBITDA Get a 7-Day Free Trial 20.24 17.55 35.09 5.40 43.31

Competitive Comparison of Nippon Paper Group,'s Debt-to-EBITDA

For the Paper & Paper Products subindustry, Nippon Paper Group,'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.


Nippon Paper Group,'s Debt-to-EBITDA Distribution in the Forest Products Industry

For the Forest Products industry and Basic Materials sector, Nippon Paper Group,'s Debt-to-EBITDA distribution charts can be found below:

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



Nippon Paper Group, Debt-to-EBITDA Calculation

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

Nippon Paper Group,'s Debt-to-EBITDA for the fiscal year that ended in Mar. 2012 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(232231 + 603724) / 112309
=7.44

Nippon Paper Group,'s annualized Debt-to-EBITDA for the quarter that ended in Dec. 2012 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(229546 + 597435) / 19096
=43.31

* 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 (Dec. 2012) EBITDA data.


Nippon Paper Group,  (TSE:3893) 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.


Nippon Paper Group, Debt-to-EBITDA Related Terms

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


Nippon Paper Group, (TSE:3893) Business Description

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