FAR Chemical Industry (DHA:FARCHEM) Debt-to-EBITDA : -9.17 (As of Mar. 2026)

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.

DHA:FARCHEM FAR Chemical Industry Ltd DHA:FARCHEM
65 GF Score
Price BDT23.70
! 9 Warning Signs
View Full Analysis

What is FAR Chemical Industry Debt-to-EBITDA?

FAR Chemical Industry DHA:FARCHEM -2.87% 65 Debt-to-EBITDA is -9.17 as of Mar. 2026. GuruFocus rates DHA:FARCHEM with a GF Score™ of 65/100. The stock has 9 warning signs investors should review. Among 1,239 Chemicals companies, FAR Chemical Industry ranks worse than 80710.17% on this metric.

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

FAR Chemical Industry's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was BDT3,137 Mil. FAR Chemical Industry's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was BDT252 Mil. FAR Chemical Industry's annualized EBITDA for the quarter that ended in Mar. 2026 was BDT-370 Mil. FAR Chemical Industry's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was -9.16.

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 FAR Chemical Industry's Debt-to-EBITDA or its related term are showing as below:

DHA:FARCHEM' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -36.64   Med: 0.01   Max: 26.24
Current: -36.64

During the past 12 years, the highest Debt-to-EBITDA Ratio of FAR Chemical Industry was 26.24. The lowest was -36.64. And the median was 0.01.

DHA:FARCHEM's Debt-to-EBITDA is ranked worse than
100% of 1239 companies
in the Chemicals industry
Industry Median: 2.15 vs DHA:FARCHEM: -36.64

FAR Chemical Industry  (DHA:FARCHEM) 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.


FAR Chemical Industry Debt-to-EBITDA Related Terms


FAR Chemical Industry Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for FAR Chemical Industry'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.

FAR Chemical Industry Debt-to-EBITDA Chart

FAR Chemical Industry Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only -6.75 -24.72 26.24 4.83 5.48

FAR Chemical Industry Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 3.94 18.64 4.98 -5.24 -9.17

DHA:FARCHEM vs LIN, SHW, ECL: Debt-to-EBITDA Comparison

For the Specialty Chemicals subindustry, FAR Chemical Industry'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.


FAR Chemical Industry Debt-to-EBITDA vs Chemicals Industry

For the Chemicals industry and Basic Materials sector, FAR Chemical Industry's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where FAR Chemical Industry's Debt-to-EBITDA falls into.


DHA:FARCHEM
65GF Score
FAR Chemical Industry Ltd DHA:FARCHEM
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

FAR Chemical Industry Debt-to-EBITDA Calculation

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

FAR Chemical Industry'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
=(2260.032 + 224.765) / 453.533
=5.48

FAR Chemical Industry's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(3137.172 + 252.455) / -369.856
=-9.16

* 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. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of -9.17 mean?
FAR Chemical Industry (DHA:FARCHEM) has a Debt-to-EBITDA of -9.17 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on FAR Chemical Industry. According to the industry distribution chart, FAR Chemical Industry ranks #999999 out of 1239 companies in the Chemicals industry.
Is FAR Chemical Industry's Debt-to-EBITDA too high?
FAR Chemical Industry's current Debt-to-EBITDA is -9.17. Based on the distribution chart, FAR Chemical Industry ranks #999999 out of 1239 companies in the Chemicals industry, which is in the bottom quartile relative to peers. Overall, FAR Chemical Industry has a GF Score™ of 65/100, reflecting its overall financial health beyond just this single metric.
How does FAR Chemical Industry's Debt-to-EBITDA compare to LIN and SHW?
According to the Chemicals industry distribution chart, FAR Chemical Industry ranks #999999 out of 1239 companies for Debt-to-EBITDA. This places FAR Chemical Industry in the lower half of its industry. The industry median Debt-to-EBITDA is 2.15. 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 Chemicals company?
The median Debt-to-EBITDA among Chemicals companies is 2.15, based on 1,239 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. 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 FAR Chemical Industry. For the Chemicals industry, the median Debt-to-EBITDA is 2.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. FAR Chemical Industry's current Debt-to-EBITDA is -9.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is FAR Chemical Industry stock overvalued right now?
FAR Chemical Industry (DHA:FARCHEM) has a current Debt-to-EBITDA of -9.17. The current Debt-to-EBITDA is -9.17. FAR Chemical Industry's overall GF Score™ is 65/100 with 9 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 FAR Chemical Industry (DHA:FARCHEM), the current Debt-to-EBITDA is -9.17 as of Mar. 2026. 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.

FAR Chemical Industry Business Description

Address Road No. 12, House No. 11 (Floor: 5A), Block-F, Niketon, Gulshan-1, Dhaka, BGD, 1212
FAR Chemical Industry Ltd operates in the textile dyeing chemical industry. The company is principally engaged in the manufacture and export of Chemical products to different export-oriented Textiles, dyeing and Apparels industries. It generates all of its revenue from the sale of Yarn.
65GF Score

Get the complete analysis for DHA:FARCHEM

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

BDT23.70
Price