LHSW (Lianhe Sowell International Group) Debt-to-EBITDA : -1.74 (As of Sep. 2025)

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LHSW Lianhe Sowell International Group Ltd LHSW
20 GF Score
Price $2.74
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What is Lianhe Sowell International Group Debt-to-EBITDA?

Lianhe Sowell International Group LHSW +18.61% 20 Debt-to-EBITDA is -1.74 as of Sep. 2025. GuruFocus rates LHSW with a GF Score™ of 20/100. The stock has 5 warning signs investors should review. Among 1,722 Software companies, Lianhe Sowell International Group ranks worse than 73.46% on this metric.

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

Lianhe Sowell International Group's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2025 was $2.92 Mil. Lianhe Sowell International Group's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2025 was $0.41 Mil. Lianhe Sowell International Group's annualized EBITDA for the quarter that ended in Sep. 2025 was $-1.91 Mil. Lianhe Sowell International Group's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2025 was -1.74.

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 Lianhe Sowell International Group's Debt-to-EBITDA or its related term are showing as below:

LHSW' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -0.84   Med: 0.61   Max: 2.81
Current: 2.81

During the past 4 years, the highest Debt-to-EBITDA Ratio of Lianhe Sowell International Group was 2.81. The lowest was -0.84. And the median was 0.61.

LHSW's Debt-to-EBITDA is ranked worse than
73.46% of 1722 companies
in the Software industry
Industry Median: 1.08 vs LHSW: 2.81

Lianhe Sowell International Group  (NAS:LHSW) 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.


Lianhe Sowell International Group Debt-to-EBITDA Related Terms


Lianhe Sowell International Group Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Lianhe Sowell International Group'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.

Lianhe Sowell International Group Debt-to-EBITDA Chart

Lianhe Sowell International Group Annual Data
Trend Mar22 Mar23 Mar24 Mar25
Debt-to-EBITDA
-0.84 0.48 0.80 0.74

Lianhe Sowell International Group Semi-Annual Data
Mar22 Sep22 Mar23 Sep23 Mar24 Sep24 Mar25 Sep25
Debt-to-EBITDA Get a 7-Day Free Trial 0.30 0.90 0.93 0.62 -1.74

LHSW vs WETO, TAOP, HUBC: Debt-to-EBITDA Comparison

For the Software - Infrastructure subindustry, Lianhe Sowell International Group'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.


Lianhe Sowell International Group Debt-to-EBITDA vs Software Industry

For the Software industry and Technology sector, Lianhe Sowell International Group's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Lianhe Sowell International Group's Debt-to-EBITDA falls into.


LHSW
20GF Score
Lianhe Sowell International Group Ltd LHSW
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
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Lianhe Sowell International Group Debt-to-EBITDA Calculation

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

Lianhe Sowell International Group's Debt-to-EBITDA for the fiscal year that ended in Mar. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2.223 + 0.426) / 3.567
=0.74

Lianhe Sowell International Group's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2.92 + 0.411) / -1.91
=-1.74

* 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 two times the quarterly (Sep. 2025) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of -1.74 mean?
Lianhe Sowell International Group (LHSW) has a Debt-to-EBITDA of -1.74 as of Sep. 2025. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Lianhe Sowell International Group. According to the industry distribution chart, Lianhe Sowell International Group ranks #1265 out of 1722 companies in the Software industry, placing it in the top 73.5%.
Is Lianhe Sowell International Group's Debt-to-EBITDA too high?
Lianhe Sowell International Group's current Debt-to-EBITDA is -1.74. Based on the distribution chart, Lianhe Sowell International Group ranks #1265 out of 1722 companies in the Software industry, which is below the industry midpoint. Overall, Lianhe Sowell International Group has a GF Score™ of 20/100, reflecting its overall financial health beyond just this single metric.
How does Lianhe Sowell International Group's Debt-to-EBITDA compare to WETO and TAOP?
According to the Software industry distribution chart, Lianhe Sowell International Group ranks #1265 out of 1722 companies for Debt-to-EBITDA. This places Lianhe Sowell International Group in the lower half of its industry. The industry median Debt-to-EBITDA is 1.08. 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 Software company?
The median Debt-to-EBITDA among Software companies is 1.08, based on 1,722 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 Lianhe Sowell International Group. For the Software industry, the median Debt-to-EBITDA is 1.08 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lianhe Sowell International Group's current Debt-to-EBITDA is -1.74. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lianhe Sowell International Group stock overvalued right now?
Lianhe Sowell International Group (LHSW) has a current Debt-to-EBITDA of -1.74. The current Debt-to-EBITDA is -1.74. Lianhe Sowell International Group's overall GF Score™ is 20/100 with 5 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 Lianhe Sowell International Group (LHSW), the current Debt-to-EBITDA is -1.74 as of Sep. 2025. 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.

Lianhe Sowell International Group Business Description

Address No. 3388 Binhai Avenue, 15th Floor, Sannuo Smart Building, Binhai Community, Nanshan District, Shenzhen, CHN
Lianhe Sowell International Group Ltd is a holding company and operates its business through its subsidiary. It is a provider of machine vision products and solutions in China that invent and integrate technologies and solutions that address some of the critical manufacturing and distribution challenges, such as precision and accuracy required in manufacturing of electronic products. The company categorize machine vision products in four categories based on their application settings: Industrial Machine Vision, Artificial Intelligence (Face Recognition and AI Behavior Analysis), Intelligent Weak Current (Building Intelligence and Intelligent Transportation) and Electronic Customs Clearance.
20GF Score

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

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