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Sleep Number (FRA:SL2) Debt-to-EBITDA : 10.29 (As of Mar. 2024)


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What is Sleep Number Debt-to-EBITDA?

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

Sleep Number's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €556 Mil. Sleep Number's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €316 Mil. Sleep Number's annualized EBITDA for the quarter that ended in Mar. 2024 was €85 Mil. Sleep Number's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was 10.29.

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 Sleep Number's Debt-to-EBITDA or its related term are showing as below:

FRA:SL2' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.16   Med: 3.12   Max: 12.5
Current: 12.5

During the past 13 years, the highest Debt-to-EBITDA Ratio of Sleep Number was 12.50. The lowest was 0.16. And the median was 3.12.

FRA:SL2's Debt-to-EBITDA is ranked worse than
94.05% of 336 companies
in the Furnishings, Fixtures & Appliances industry
Industry Median: 1.885 vs FRA:SL2: 12.50

Sleep Number Debt-to-EBITDA Historical Data

The historical data trend for Sleep Number'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.

Sleep Number Debt-to-EBITDA Chart

Sleep Number Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.38 2.39 3.12 6.62 10.03

Sleep Number Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 5.14 7.75 9.73 -321.30 10.29

Competitive Comparison of Sleep Number's Debt-to-EBITDA

For the Furnishings, Fixtures & Appliances subindustry, Sleep Number'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.


Sleep Number's Debt-to-EBITDA Distribution in the Furnishings, Fixtures & Appliances Industry

For the Furnishings, Fixtures & Appliances industry and Consumer Cyclical sector, Sleep Number's Debt-to-EBITDA distribution charts can be found below:

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



Sleep Number Debt-to-EBITDA Calculation

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

Sleep Number'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
=(569.695 + 322.228) / 88.935
=10.03

Sleep Number's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(556.416 + 315.971) / 84.748
=10.29

* 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. 2024) EBITDA data.


Sleep Number  (FRA:SL2) 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.


Sleep Number Debt-to-EBITDA Related Terms

Thank you for viewing the detailed overview of Sleep Number's Debt-to-EBITDA provided by GuruFocus.com. Please click on the following links to see related term pages.


Sleep Number (FRA:SL2) Business Description

Traded in Other Exchanges
Address
1001 Third Avenue South, Minneapolis, MN, USA, 55404
Sleep Number Corp. offers individualized mattresses and sleep solutions. Consumers can customize Sleep Number bedding to suit their comforts. The company utilizes algorithms and biometric data for customizations. Revenue is generated through marketing and selling bedding through two distribution channels: company-controlled, including direct-to-consumer retail and online sales; and wholesale, which sells through selected wholesale and retail customers. Almost all revenue comes from company-controlled retail sales. Sleep Number Corp. sells its products throughout the United States.

Sleep Number (FRA:SL2) Headlines

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