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LSAK (Lesaka Technologies) Long-Term Debt & Capital Lease Obligation : $144.4 Mil (As of Jun. 2024)


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What is Lesaka Technologies Long-Term Debt & Capital Lease Obligation?

Long-Term Debt & Capital Lease Obligation is the debt and capital lease obligation due more than 12 months in the future. Lesaka Technologies's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was $144.4 Mil.

Warning Sign:

Lesaka Technologies Inc keeps issuing new debt. Over the past 3 years, it issued USD 85.313 million of debt.

LT-Debt-to-Total-Asset is a measurement representing the percentage of a corporation's assets that are financed with loans and financial obligations lasting more than one year. The ratio provides a general measure of the financial position of a company, including its ability to meet financial requirements for outstanding loans. It is calculated as a company's Long-Term Debt & Capital Lease Obligation divides by its Total Assets. Lesaka Technologies's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was $144.4 Mil. Lesaka Technologies's Total Assets for the quarter that ended in Jun. 2024 was $558.5 Mil. Lesaka Technologies's LT-Debt-to-Total-Asset for the quarter that ended in Jun. 2024 was 0.26.

Lesaka Technologies's LT-Debt-to-Total-Asset increased from Jun. 2023 (0.25) to Jun. 2024 (0.26). It may suggest that Lesaka Technologies is progressively becoming more dependent on debt to grow their business.


Lesaka Technologies Long-Term Debt & Capital Lease Obligation Historical Data

The historical data trend for Lesaka Technologies's Long-Term Debt & Capital Lease Obligation 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.

Lesaka Technologies Long-Term Debt & Capital Lease Obligation Chart

Lesaka Technologies Annual Data
Trend Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24
Long-Term Debt & Capital Lease Obligation
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.31 1.89 139.67 132.59 144.40

Lesaka Technologies Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
Long-Term Debt & Capital Lease Obligation 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 132.59 134.67 143.45 136.31 144.40

Lesaka Technologies Long-Term Debt & Capital Lease Obligation Calculation

Long-Term Debt is the debt due more than 12 months in the future. The debt can be owed to banks or bondholders. Some companies issue bonds to investors and pay interest on the bonds.

Long-Term Capital Lease Obligation represents the total liability for long-term leases lasting over one year. It's amount equal to the present value (the principal) at the beginning of the lease term less lease payments during the lease term.

The interest paid on companies' debt is reflected in the income statement as interest expense. If a company has too much debt and it cannot serve the interest payment on the debt or repay the matured debt, the company risks bankruptcy. Peter Lynch famously said: A company that does not have debt cannot go bankrupt.

A company's long term debt may have different dates of maturity and interest rates, depending on the terms.

Usually a company issues long term debt to pay for its capital expenditures. Borrowing allows the company to do things that otherwise cannot be done with only the capital it has. But debt can be risky.


Lesaka Technologies  (NAS:LSAK) Long-Term Debt & Capital Lease Obligation Explanation

LT-Debt-to-Total-Asset is a measurement representing the percentage of a corporation's assets that are financed with loans and financial obligations lasting more than one year. The ratio provides a general measure of the financial position of a company, including its ability to meet financial requirements for outstanding loans. A year-over-year decrease in this metric would suggest the company is progressively becoming less dependent on debt to grow their business.

Lesaka Technologies's LT-Debt-to-Total-Asset ratio for the quarter that ended in Jun. 2024 is calculated as:

LT-Debt-to-Total-Asset (Q: Jun. 2024 )=Long-Term Debt & Capital Lease Obligation (Q: Jun. 2024 )/Total Assets (Q: Jun. 2024 )
=144.395/558.45
=0.26

* 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.

Buffett says that durable competitive advantages carry little to no long-term debt because the company is so profitable that even expansions or acquisitions are self financed.

We are interested in long term debt load for the last ten years. If the ten years of operation show little to no long term debt, then the company has some kind of strong competitive advantage.

Warren Buffett's historic purchases indicate that on any given year, the company should have sufficient yearly net earnings to pay all long term within 3 or 4 year earnings period. (e.g. Coke + Moody's = 1yr)

Companies with enough earning power to pay long term debt in less than 3 or 4 years is a good candidate in our search for long term competitive advantage.

BUT, these companies are targets for leveraged buy outs, which saddles the business with long term debt.

If all else indicates the company has a moat, but it has ton of debt, a leveraged buyout may have created the debt. In these cases the company's bonds offer the better bet, in that the company’s earnings power is focused on paying off the debt and not growth.

Important: little or no long term debt often means a Good Long Term Bet


Lesaka Technologies Long-Term Debt & Capital Lease Obligation Related Terms

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Lesaka Technologies Business Description

Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Lesaka Technologies Inc (NAS:LSAK) » Definitions » Long-Term Debt & Capital Lease Obligation
Traded in Other Exchanges
Address
Corner Jan Smuts Avenue and Bolton Road, President Place, 4th Floor, Rosebank, Johannesburg, GT, ZAF, 2196
Lesaka Technologies Inc provides payment solutions, transaction processing solutions, and financial technologies. The company operates two reportable segments: Merchant and Consumer. The company operates mainly within South Africa. The Merchant segment that derives majority revenue includes activities related to the provision of goods and services provided to corporate and other juristic entities. It earns fees from processing activities performed for its customers and revenue generated from the distribution of prepaid airtime. The Consumer segment includes activities related to the provision of financial services to customers, including bank accounts, loans, and insurance products. The firm charges monthly administration fees for all bank accounts.
Executives
Meyer Christopher G.b. director, officer: Chief Executive Officer C/O NET 1 UEPS TECHNOLOGIES, INC., 4TH FL CNR JAN SMUT AVE & BOLTON RD, ROSEBANK, JOHANNESBURG T3 00000
Ali Mazanderani director C/O NET 1 UEPS TECHNOLOGIES, INC., 4TH FL CNR JAN SMUT AVE & BOLTON RD., ROSEBANK, JOHANNESBURG T3 00000
Value Capital Partners (pty) Ltd 10 percent owner ROSEBANK LINK, 173 OXFORD ROAD, 8TH FLOOR, GAUTENG T3 2196
Sharron Venessa Naidoo director 643 WILLOWGROVE ROAD, DAINFERN T3 2055
Lincoln Camagu Mali officer: CEO: South Africa C/O NET 1 UEPS TECHNOLOGIES, INC., 4TH FL CNR JAN SMUT AVE & BOLTON RD, ROSEBANK, JOHANNESBURG T3 00000
Steven John Heilbron director, officer: Connect Grp Chief Exec Officer C/O SOUVARIS PROPERTIES 45 PTY LTD, 139 KLOOF ROAD, CLIFTON T3 8005
Monde Nkosi director C/O VALUE CAPITAL PARTNERS, 173 OXFORD ROAD, ROSEBANK LINK 8TH FLOOR, GAUTENG T3 2196
Anthony C Ball director PRIVATE BAG XI, NORTHLANDS T3 2116
Naeem Ebrahim Kola director, officer: Group Chief Financial Officer VILLA E2, STREET E13, DISTRICT 5, JUMEIRAH PARK, DUBAI C0 00000
Nonkululeko Nompumelelo Gobodo director C/O NET 1 UEPS TECHNOLOGIES, INC., 4TH FL CNR JAN SMUT AVE & BOLTON RD, ROSEBANK, JOHANNESBURG T3 00000
Nunthakumarin Pillay officer: Managing Dir.: South Africa PRESIDENT PLACE, 4TH FLOOR, CNR. JAN SMUTS AVENUE AND BOLTON ROAD, ROSEBANK, JOHANNESBURG T3 T3
Jabulane Albert Mabuza director C/O NET 1 UEPS TECHNOLOGIES, INC., 4TH FL CNR JAN SMUT AVE & BOLTON RD., ROSEBANK, JOHANNESBURG T3 00000
Javed Hamid director C/O NET 1 UEPS TECHNOLOGIES, INC., 4TH FL CNR JAN SMUT AVE & BOLTON RD, ROSEBANK, JOHANNESBURG T3 00000
Ekta Singh-bushell director 9197 S. PEORIA ST., ENGLEWOOD CO 80112
Kubandiran Pillay director C/O NET 1 UEPS TECHNOLOGIES, INC., 4TH FL CNR JAN SMUTS AVE & BOLTON RD, ROSEBANK, JOHANNESBURG T3 00000