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Globo (LSE:GBO) Debt-to-EBITDA : 0.82 (As of Jun. 2015)


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What is Globo Debt-to-EBITDA?

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

Globo's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2015 was £3.81 Mil. Globo's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2015 was £37.24 Mil. Globo's annualized EBITDA for the quarter that ended in Jun. 2015 was £50.36 Mil. Globo's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2015 was 0.82.

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

LSE:GBO' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0   Med: 0   Max: 0.84
Current: 0.84

During the past 9 years, the highest Debt-to-EBITDA Ratio of Globo was 0.84. The lowest was 0.00. And the median was 0.00.

LSE:GBO's Debt-to-EBITDA is not ranked
in the Software industry.
Industry Median: 1.005 vs LSE:GBO: 0.84

Globo Debt-to-EBITDA Historical Data

The historical data trend for Globo'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.

Globo Debt-to-EBITDA Chart

Globo Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only 1.21 0.51 0.19 0.57 0.80

Globo Semi-Annual Data
Jun08 Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15
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 0.28 0.57 0.47 0.70 0.82

Competitive Comparison of Globo's Debt-to-EBITDA

For the Software - Application subindustry, Globo'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.


Globo's Debt-to-EBITDA Distribution in the Software Industry

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

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



Globo Debt-to-EBITDA Calculation

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

Globo's Debt-to-EBITDA for the fiscal year that ended in Dec. 2014 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2.145 + 31.296) / 42.045
=0.80

Globo's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2015 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(3.811 + 37.236) / 50.356
=0.82

* 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 (Jun. 2015) EBITDA data.


Globo  (LSE:GBO) 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.


Globo Debt-to-EBITDA Related Terms

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


Globo (LSE:GBO) Business Description

Traded in Other Exchanges
N/A
Address
Globo PLC was incorporated in United Kingdom on July 13, 2005. The Company is an international technology innovator delivering enterprise mobility management & mobile application development platforms & services. The Company's operating segments include; Mobile products and services, Telecom services (S.a.a.S), and Third party goods. The Mobile products and services segment sells its mobile software products and services to its clients. The Telecom services (S.a.a.S) combines telecom services with its software products (e-business and WiFi services) that are then sold on software as a service basis. The Third party goods resell third party goods, to its customers, mainly comprising mobile accessories. The Company's product & services portfolio includes; GO!Enterprise Platform products; Enterprise Mobility Products; Small Business Mobility Services; Consumer Mobile Services; and Telecom & SaaS.

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