ALFABS AUSTRALIA (ASX:AAL) Debt-to-EBITDA : 2.51 (As of Dec. 2025) — 89% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

ASX:AAL ALFABS AUSTRALIA Ltd ASX:AAL
12 GF Score
Price A$0.25
! 5 Warning Signs
View Full Analysis

What is ALFABS AUSTRALIA Debt-to-EBITDA?

ALFABS AUSTRALIA ASX:AAL -12.50% 12 Debt-to-EBITDA is 2.51 as of Dec. 2025, which is 89% above its 10-year median of 1.33. GuruFocus rates ASX:AAL with a GF Score™ of 12/100. The stock has 5 warning signs investors should review. Among 460 Conglomerates companies, ALFABS AUSTRALIA ranks better than 62.17% on this metric.

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

ALFABS AUSTRALIA's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was A$11.8 Mil. ALFABS AUSTRALIA's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2025 was A$35.9 Mil. ALFABS AUSTRALIA's annualized EBITDA for the quarter that ended in Dec. 2025 was A$19.0 Mil. ALFABS AUSTRALIA's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2025 was 2.51.

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 ALFABS AUSTRALIA's Debt-to-EBITDA or its related term are showing as below:

ASX:AAL' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.26   Med: 1.33   Max: 1.97
Current: 1.97

During the past 4 years, the highest Debt-to-EBITDA Ratio of ALFABS AUSTRALIA was 1.97. The lowest was 1.26. And the median was 1.33.

ASX:AAL's Debt-to-EBITDA is ranked better than
62.17% of 460 companies
in the Conglomerates industry
Industry Median: 2.705 vs ASX:AAL: 1.97

ALFABS AUSTRALIA  (ASX:AAL) 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.


ALFABS AUSTRALIA Debt-to-EBITDA Related Terms


ALFABS AUSTRALIA Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for ALFABS AUSTRALIA'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.

ALFABS AUSTRALIA Debt-to-EBITDA Chart

ALFABS AUSTRALIA Annual Data
Trend Jun22 Jun23 Jun24 Jun25
Debt-to-EBITDA
0.00 0.00 1.40 1.26

ALFABS AUSTRALIA Semi-Annual Data
Jun22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Debt-to-EBITDA Get a 7-Day Free Trial 1.44 1.65 0.89 1.17 2.51

ASX:AAL vs HON, MMM: Debt-to-EBITDA Comparison

For the Conglomerates subindustry, ALFABS AUSTRALIA'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.


ALFABS AUSTRALIA Debt-to-EBITDA vs Conglomerates Industry

For the Conglomerates industry and Industrials sector, ALFABS AUSTRALIA's Debt-to-EBITDA distribution charts can be found below:

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


ASX:AAL
12GF Score
ALFABS AUSTRALIA Ltd ASX:AAL
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

ALFABS AUSTRALIA Debt-to-EBITDA Calculation

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

ALFABS AUSTRALIA's Debt-to-EBITDA for the fiscal year that ended in Jun. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(10.44 + 23.956) / 27.345
=1.26

ALFABS AUSTRALIA's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(11.8 + 35.915) / 19.018
=2.51

* 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. 2025) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 2.51 mean?
ALFABS AUSTRALIA (ASX:AAL) has a Debt-to-EBITDA of 2.51 as of Dec. 2025. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on ALFABS AUSTRALIA. This is 89% above median its historical median of 1.33. Over the past decade, ALFABS AUSTRALIA's Debt-to-EBITDA has ranged from 1.26 to 1.97. According to the industry distribution chart, ALFABS AUSTRALIA ranks #174 out of 460 companies in the Conglomerates industry, placing it in the top 37.8%.
Is ALFABS AUSTRALIA's Debt-to-EBITDA too high?
ALFABS AUSTRALIA's current Debt-to-EBITDA of 2.51 is 89% above median its 10-year median of 1.33. Over the past 10 years, this metric has ranged from a low of 1.26 to a high of 1.97. The Conglomerates industry median Debt-to-EBITDA is 2.71. ALFABS AUSTRALIA's value of 2.51 is 7.2% below this industry median. Based on the distribution chart, ALFABS AUSTRALIA ranks #174 out of 460 companies in the Conglomerates industry, which is above the industry midpoint. Overall, ALFABS AUSTRALIA has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does ALFABS AUSTRALIA's Debt-to-EBITDA compare to HON and MMM?
According to the Conglomerates industry distribution chart, ALFABS AUSTRALIA ranks #174 out of 460 companies for Debt-to-EBITDA. This puts ALFABS AUSTRALIA in the upper half of its industry. The industry median Debt-to-EBITDA is 2.71. ALFABS AUSTRALIA's value of 2.51 is 7.2% below this benchmark. Historically, ALFABS AUSTRALIA's own Debt-to-EBITDA has ranged from 1.26 to 1.97 over the past decade. While the company's 10-year median is 1.33 vs. the industry median of 2.71, ALFABS AUSTRALIA has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-EBITDA for a Conglomerates company?
The median Debt-to-EBITDA among Conglomerates companies is 2.71, based on 460 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. ALFABS AUSTRALIA's current Debt-to-EBITDA of 2.51 is 7.2% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on ALFABS AUSTRALIA. For the Conglomerates industry, the median Debt-to-EBITDA is 2.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. ALFABS AUSTRALIA's current Debt-to-EBITDA is 2.51, which is 89% above median its own 10-year median of 1.33. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is ALFABS AUSTRALIA stock overvalued right now?
ALFABS AUSTRALIA (ASX:AAL) has a current Debt-to-EBITDA of 2.51. The current Debt-to-EBITDA is 2.51, which is 89% above median its 10-year median of 1.33 and 7.2% below the Conglomerates industry median of 2.71. ALFABS AUSTRALIA's overall GF Score™ is 12/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For ALFABS AUSTRALIA (ASX:AAL), the current Debt-to-EBITDA is 2.51 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

ALFABS AUSTRALIA Business Description

Address 152 Mitchell Avenue, Kurri Kurri, Cessnock, NSW, AUS, 2327
ALFABS AUSTRALIA Ltd is a company that provides a design-to-delivery solution for its clients across heavy steel fabrication, construction, and maintenance services, mining equipment, protective coatings, and transport. Its reportable segments are Mining, Engineering, and Other. The Mining segment is engaged in the manufacture, repair, overhaul, servicing, and hire of underground mining and ancillary equipment, together with sales of mining-related consumables and spare parts. The Engineering segment, which derives maximum revenue for the company, is involved in heavy steel fabrication, site installation works, and site-based maintenance; and the Other segment represents head office and ancillary businesses, including protective coatings and transport.
12GF Score

Get the complete analysis for ASX:AAL

Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$0.25
Price