AFC Agro Biotech (DHA:AFCAGRO) Debt-to-EBITDA : 7.21 (As of Mar. 2023)

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DHA:AFCAGRO AFC Agro Biotech Ltd DHA:AFCAGRO
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Price BDT6.70
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What is AFC Agro Biotech Debt-to-EBITDA?

AFC Agro Biotech DHA:AFCAGRO -4.29% 10 Debt-to-EBITDA is 7.21 as of Mar. 2023. GuruFocus rates DHA:AFCAGRO with a GF Score™ of 10/100.

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

AFC Agro Biotech's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2023 was BDT169.0 Mil. AFC Agro Biotech's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2023 was BDT221.6 Mil. AFC Agro Biotech's annualized EBITDA for the quarter that ended in Mar. 2023 was BDT54.2 Mil. AFC Agro Biotech's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2023 was 7.21.

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 AFC Agro Biotech's Debt-to-EBITDA or its related term are showing as below:

DHA:AFCAGRO's Debt-to-EBITDA is not ranked *
in the Drug Manufacturers industry.
Industry Median: 1.58
* Ranked among companies with meaningful Debt-to-EBITDA only.

AFC Agro Biotech  (DHA:AFCAGRO) 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.


AFC Agro Biotech Debt-to-EBITDA Related Terms


AFC Agro Biotech Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for AFC Agro Biotech'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.

AFC Agro Biotech Debt-to-EBITDA Chart

AFC Agro Biotech Annual Data
Trend Dec13 Dec14 Jun15 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only 0.40 0.32 0.55 0.58 1.11

AFC Agro Biotech Quarterly Data
Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23
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 14.39 -9.48 3.94 10.59 7.21

DHA:AFCAGRO vs ZTS, VTRS, NBIX: Debt-to-EBITDA Comparison

For the Drug Manufacturers - Specialty & Generic subindustry, AFC Agro Biotech'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.


AFC Agro Biotech Debt-to-EBITDA vs Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, AFC Agro Biotech's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where AFC Agro Biotech's Debt-to-EBITDA falls into.


DHA:AFCAGRO
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AFC Agro Biotech Ltd DHA:AFCAGRO
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
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AFC Agro Biotech Debt-to-EBITDA Calculation

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

AFC Agro Biotech's Debt-to-EBITDA for the fiscal year that ended in Jun. 2022 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(182.145 + 204.188) / 348.304
=1.11

AFC Agro Biotech's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(169.035 + 221.553) / 54.208
=7.21

* 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. 2023) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 7.21 mean?
AFC Agro Biotech (DHA:AFCAGRO) has a Debt-to-EBITDA of 7.21 as of Mar. 2023. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on AFC Agro Biotech.
Is AFC Agro Biotech's Debt-to-EBITDA too high?
AFC Agro Biotech's current Debt-to-EBITDA is 7.21. The Drug Manufacturers industry median Debt-to-EBITDA is 1.58. AFC Agro Biotech's value of 7.21 is 356.3% above this industry median. Overall, AFC Agro Biotech has a GF Score™ of 10/100, reflecting its overall financial health beyond just this single metric.
How does AFC Agro Biotech's Debt-to-EBITDA compare to ZTS and VTRS?
AFC Agro Biotech's Debt-to-EBITDA of 7.21 can be compared against companies in the Drug Manufacturers industry. The industry median Debt-to-EBITDA is 1.58. AFC Agro Biotech's value of 7.21 is 356.3% above this benchmark. 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 Drug Manufacturers company?
The median Debt-to-EBITDA among Drug Manufacturers companies is 1.58, based on 685 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. AFC Agro Biotech's current Debt-to-EBITDA of 7.21 is 356.3% above 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 AFC Agro Biotech. For the Drug Manufacturers industry, the median Debt-to-EBITDA is 1.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AFC Agro Biotech's current Debt-to-EBITDA is 7.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AFC Agro Biotech stock overvalued right now?
AFC Agro Biotech (DHA:AFCAGRO) has a current Debt-to-EBITDA of 7.21. The current Debt-to-EBITDA is 7.21 and 356.3% above the Drug Manufacturers industry median of 1.58. AFC Agro Biotech's overall GF Score™ is 10/100. 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 AFC Agro Biotech (DHA:AFCAGRO), the current Debt-to-EBITDA is 7.21 as of Mar. 2023. 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.

AFC Agro Biotech Business Description

Address 214/D, Gulshan-Tejgaon Link Road, Navana Osman at Link, Dhaka, BGD, 1208
AFC Agro Biotech Ltd is a biotech products manufacturer. It is engaged in manufacturing biopharmaceuticals and biochemicals. It manufactures antibiotics, proteins, vaccines, enzymes from agricultural ingredients like molasses, glucose, potato starch, and other nutrients. The products manufactured by the company are macrolide protein, acetic acid, L-Lysine, monosodium glutamate, methionine, calcium hydrogen orthophosphate, magnesium carbonate, and sodium carbonate. It sells its products to the local markets in Bangladesh.
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