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Husqvarna AB (Husqvarna AB) Debt-to-EBITDA : 2.31 (As of Mar. 2024)


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What is Husqvarna AB Debt-to-EBITDA?

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

Husqvarna AB's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was $464 Mil. Husqvarna AB's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was $1,251 Mil. Husqvarna AB's annualized EBITDA for the quarter that ended in Mar. 2024 was $742 Mil. Husqvarna AB's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was 2.31.

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 Husqvarna AB's Debt-to-EBITDA or its related term are showing as below:

HSQVY' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.26   Med: 1.89   Max: 5.12
Current: 5.12

During the past 13 years, the highest Debt-to-EBITDA Ratio of Husqvarna AB was 5.12. The lowest was 1.26. And the median was 1.89.

HSQVY's Debt-to-EBITDA is ranked worse than
80.92% of 2301 companies
in the Industrial Products industry
Industry Median: 1.74 vs HSQVY: 5.12

Husqvarna AB Debt-to-EBITDA Historical Data

The historical data trend for Husqvarna AB'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.

Husqvarna AB Debt-to-EBITDA Chart

Husqvarna AB 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 2.01 1.77 1.26 3.38 2.44

Husqvarna AB 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 1.98 1.98 9.76 -4.41 2.31

Competitive Comparison of Husqvarna AB's Debt-to-EBITDA

For the Tools & Accessories subindustry, Husqvarna AB'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.


Husqvarna AB's Debt-to-EBITDA Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Husqvarna AB's Debt-to-EBITDA distribution charts can be found below:

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



Husqvarna AB Debt-to-EBITDA Calculation

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

Husqvarna AB'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
=(651.127 + 974.107) / 666.92
=2.44

Husqvarna AB'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
=(464.495 + 1250.756) / 741.504
=2.31

* 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 (Mar. 2024) EBITDA data.


Husqvarna AB  (OTCPK:HSQVY) 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.


Husqvarna AB Debt-to-EBITDA Related Terms

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


Husqvarna AB (Husqvarna AB) Business Description

Address
Regeringsgatan 28, Box 7454, Stockholm, SWE, SE-111 53
Husqvarna AB makes outdoor power products for forest, park, and garden care. The company operates three business segments: Husqvarna, Gardena, and Construction. The Husqvarna segment generates most of the group's revenue. It manufactures and sells outdoor products such as chainsaws, trimmers, mowers, and park and garden care. The other segments offer garden watering and hand tools, as well as professional equipment and diamond tools for cutting and drilling in concrete, stone, and asphalt. Products are sold under the Husqvarna, Gardena, McCulloch, Poulan Pro, Weed Eater, Flymo, Zenoah, and Diamant Boart brands. The company's largest end markets are North America and Europe.