Sandoz Group AG (FRA:D8Y0) Debt-to-EBITDA : 0.26 (As of Jun. 2024)

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What is Sandoz Group AG Debt-to-EBITDA?

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

Sandoz Group AG's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was €51 Mil. Sandoz Group AG's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2024 was €227 Mil. Sandoz Group AG's annualized EBITDA for the quarter that ended in Jun. 2024 was €1,059 Mil. Sandoz Group AG's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2024 was 0.26.

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 Sandoz Group AG's Debt-to-EBITDA or its related term are showing as below:

FRA:D8Y0' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.2 Med: 2.76 Max: 5.31
Current: 0.4

During the past 2 years, the highest Debt-to-EBITDA Ratio of Sandoz Group AG was 5.31. The lowest was 0.20. And the median was 2.76.

FRA:D8Y0's Debt-to-EBITDA is ranked better than
74.7% of 656 companies
in the Drug Manufacturers industry
Industry Median: 1.67 vs FRA:D8Y0: 0.40

Sandoz Group AG Debt-to-EBITDA Historical Data

The historical data trend for Sandoz Group AG'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.

* Premium members only.

Sandoz Group AG Debt-to-EBITDA Chart

Sandoz Group AG Annual Data

Trend

Dec22

Dec23

Debt-to-EBITDA

0.20

5.31

Sandoz Group AG Semi-Annual Data
	Dec22	Jun23	Dec23	Jun24
Debt-to-EBITDA	N/A	-	12.37	0.26

Competitive Comparison of Sandoz Group AG's Debt-to-EBITDA

For the Drug Manufacturers - Specialty & Generic subindustry, Sandoz Group AG'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.

Sandoz Group AG's Debt-to-EBITDA Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Sandoz Group AG's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Sandoz Group AG's Debt-to-EBITDA falls into.

Sandoz Group AG Debt-to-EBITDA Calculation

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

Sandoz Group AG's Debt-to-EBITDA for the fiscal year that ended in Dec. 2023 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(296.191	+	3878.91)	/	785.869
	=	5.31

Sandoz Group AG's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2024 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(51.095	+	226.676)	/	1059.06
	=	0.26

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 (Jun. 2024) EBITDA data.

Sandoz Group AG (FRA:D8Y0) 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.

Sandoz Group AG Debt-to-EBITDA Related Terms

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Sandoz Group AG Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Drug Manufacturers » Sandoz Group AG (FRA:D8Y0) » Definitions » Debt-to-EBITDA

Comparable Companies

Traded in Other Exchanges

SDZXF:USA SDZNY:USA SDZz:UK 0SAN:UK D8Y0:Germany SDZ:Switzerland

Address

Forum 1, Novartis Campus, Basel, CHE, CH-4056

Website

https://www.sandoz.com

Sandoz is one of the largest generic pharmaceutical manufacturers in the world, generating over $9 billion annually from off-patent drugs. Once part of Novartis, Sandoz spun off and went public in October 2023. Generics, including small molecules and complex injectables, make up roughly 75% of Sandoz's total sales, and the firm has a significant presence in Europe, the United States, and other key international markets. Sandoz generates its remaining sales from biosimilars and is among leaders in the space. Sandoz launched Europe's first biosimilar, Omnitrope, in 2006 as well as the first US biosimilar, Zarxio, in 2015. It currently has eight commercialized biosimilars in a number of markets and has over 20 assets in its pipeline.

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