RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) Debt-to-EBITDA : 3.70 (As of Jun. 2026) — 741% 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.

DHA:RAKCERAMIC RAK Ceramics (Bangladesh) Ltd DHA:RAKCERAMIC
71 GF Score
Price BDT29.70
GF Value BDT27.61
Valuation Fairly Valued
! 9 Warning Signs
View Full Analysis

What is RAK Ceramics (Bangladesh) Debt-to-EBITDA?

RAK Ceramics (Bangladesh) DHA:RAKCERAMIC -1.98% 71 Debt-to-EBITDA is 3.70 as of Jun. 2026, which is 741% above its 10-year median of 0.44. GuruFocus rates DHA:RAKCERAMIC with a GF Score™ of 71/100 and a GF Value™ of BDT27.61 (Fairly Valued). The stock has 9 warning signs investors should review. Among 1,398 Construction companies, RAK Ceramics (Bangladesh) ranks worse than 77.32% on this metric.

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

RAK Ceramics (Bangladesh)'s Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was BDT1,905 Mil. RAK Ceramics (Bangladesh)'s Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2026 was BDT457 Mil. RAK Ceramics (Bangladesh)'s annualized EBITDA for the quarter that ended in Jun. 2026 was BDT638 Mil. RAK Ceramics (Bangladesh)'s annualized Debt-to-EBITDA for the quarter that ended in Jun. 2026 was 3.70.

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 RAK Ceramics (Bangladesh)'s Debt-to-EBITDA or its related term are showing as below:

DHA:RAKCERAMIC' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.09   Med: 0.44   Max: 5.31
Current: 5.31

During the past 13 years, the highest Debt-to-EBITDA Ratio of RAK Ceramics (Bangladesh) was 5.31. The lowest was 0.09. And the median was 0.44.

DHA:RAKCERAMIC's Debt-to-EBITDA is ranked worse than
77.32% of 1398 companies
in the Construction industry
Industry Median: 2.1 vs DHA:RAKCERAMIC: 5.31

RAK Ceramics (Bangladesh)  (DHA:RAKCERAMIC) 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.


RAK Ceramics (Bangladesh) Debt-to-EBITDA Related Terms


RAK Ceramics (Bangladesh) Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for RAK Ceramics (Bangladesh)'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.

RAK Ceramics (Bangladesh) Debt-to-EBITDA Chart

RAK Ceramics (Bangladesh) Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.27 0.29 0.87 2.14 4.06

RAK Ceramics (Bangladesh) Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
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 -5.89 2.09 80.58 17.43 3.70

DHA:RAKCERAMIC vs TT, JCI, CARR: Debt-to-EBITDA Comparison

For the Building Products & Equipment subindustry, RAK Ceramics (Bangladesh)'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.


RAK Ceramics (Bangladesh) Debt-to-EBITDA vs Construction Industry

For the Construction industry and Industrials sector, RAK Ceramics (Bangladesh)'s Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where RAK Ceramics (Bangladesh)'s Debt-to-EBITDA falls into.


DHA:RAKCERAMIC
71GF Score
RAK Ceramics (Bangladesh) Ltd DHA:RAKCERAMIC
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

RAK Ceramics (Bangladesh) Debt-to-EBITDA Calculation

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

RAK Ceramics (Bangladesh)'s Debt-to-EBITDA for the fiscal year 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
=(1538.537 + 406.984) / 479.186
=4.06

RAK Ceramics (Bangladesh)'s annualized Debt-to-EBITDA for the quarter that ended in Jun. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(1904.673 + 456.716) / 637.908
=3.70

* 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 (Jun. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 3.70 mean?
RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) has a Debt-to-EBITDA of 3.70 as of Jun. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on RAK Ceramics (Bangladesh). This is 741% above median its historical median of 0.44. Over the past decade, RAK Ceramics (Bangladesh)'s Debt-to-EBITDA has ranged from 0.09 to 5.31. According to the industry distribution chart, RAK Ceramics (Bangladesh) ranks #1081 out of 1398 companies in the Construction industry, placing it in the top 77.3%.
Is RAK Ceramics (Bangladesh)'s Debt-to-EBITDA too high?
RAK Ceramics (Bangladesh)'s current Debt-to-EBITDA of 3.70 is 741% above median its 10-year median of 0.44. Over the past 10 years, this metric has ranged from a low of 0.09 to a high of 5.31. The Construction industry median Debt-to-EBITDA is 2.10. RAK Ceramics (Bangladesh)'s value of 3.70 is 76.2% above this industry median. Based on the distribution chart, RAK Ceramics (Bangladesh) ranks #1081 out of 1398 companies in the Construction industry, which is in the bottom quartile relative to peers. Overall, RAK Ceramics (Bangladesh) has a GF Score™ of 71/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does RAK Ceramics (Bangladesh)'s Debt-to-EBITDA compare to TT and JCI?
According to the Construction industry distribution chart, RAK Ceramics (Bangladesh) ranks #1081 out of 1398 companies for Debt-to-EBITDA. This places RAK Ceramics (Bangladesh) in the lower half of its industry. The industry median Debt-to-EBITDA is 2.10. RAK Ceramics (Bangladesh)'s value of 3.70 is 76.2% above this benchmark. Historically, RAK Ceramics (Bangladesh)'s own Debt-to-EBITDA has ranged from 0.09 to 5.31 over the past decade. While the company's 10-year median is 0.44 vs. the industry median of 2.10, RAK Ceramics (Bangladesh) has consistently been above 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 Construction company?
The median Debt-to-EBITDA among Construction companies is 2.10, based on 1,398 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. RAK Ceramics (Bangladesh)'s current Debt-to-EBITDA of 3.70 is 76.2% 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 RAK Ceramics (Bangladesh). For the Construction industry, the median Debt-to-EBITDA is 2.10 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. RAK Ceramics (Bangladesh)'s current Debt-to-EBITDA is 3.70, which is 741% above median its own 10-year median of 0.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is RAK Ceramics (Bangladesh) stock overvalued right now?
Based on GuruFocus' analysis, RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) is currently considered Fairly Valued. The stock's GF Value™ is BDT27.61, compared to a current price of BDT29.70 — trading 7.6% above its estimated fair value. The current Debt-to-EBITDA is 3.70, which is 741% above median its 10-year median of 0.44 and 76.2% above the Construction industry median of 2.10. RAK Ceramics (Bangladesh)'s overall GF Score™ is 71/100 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 RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC), the current Debt-to-EBITDA is 3.70 as of Jun. 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.

Is RAK Ceramics (Bangladesh) (DHA:RAKCERAMIC) Overvalued in 2026?

Based on GuruFocus' analysis, RAK Ceramics (Bangladesh) stock appears to be overvalued. The current stock price of BDT29.70 is trading 7.6% above its estimated GF Value™ of BDT27.61. GuruFocus considers RAK Ceramics (Bangladesh) to be Fairly Valued.

Key valuation signals for DHA:RAKCERAMIC:

  • Debt-to-EBITDA: 3.70 (741% above median its 10-year median of 0.44)
  • GF Value™: BDT27.61 vs. price of BDT29.70 (7.6% above fair value)
  • GF Score™: 71/100 with 9 warning signs
  • Industry Position: 76.2% above the Construction median (#1081 of 1398)

No single metric tells the full story. See the DHA:RAKCERAMIC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


RAK Ceramics (Bangladesh) Business Description

Address Plot 1/A Jasimuddin Avenue, RAK Tower, 7th, 8th & 9th Floors, Sector-3, Uttara Model Town, Dhaka, BGD, 1230
RAK Ceramics (Bangladesh) Ltd is a tile and sanitary ware brand in Bangladesh. The core business of RAK Ceramics is to manufacture and sell ceramics and gres porcellanato (porcelain/ fully vitrified) tiles, bathroom sets, and all types of sanitary ware. The operating segments of the group are Ceramic and sanitary ware, Power and Security, and services. Substantial revenue for the group is derived from the Ceramics and sanitary ware segment that engages in manufacturing and marketing of ceramic tiles, bathroom sets, and all types of sanitary ware.
71GF Score

Get the complete analysis for DHA:RAKCERAMIC

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

BDT29.70
Price
BDT27.61
GF Value