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Luxottica Group SpA (Luxottica Group SpA) Debt-to-EBITDA : 0.93 (As of Jun. 2018)


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What is Luxottica Group SpA Debt-to-EBITDA?

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

Luxottica Group SpA's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2018 was $892 Mil. Luxottica Group SpA's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2018 was $1,311 Mil. Luxottica Group SpA's annualized EBITDA for the quarter that ended in Jun. 2018 was $2,366 Mil. Luxottica Group SpA's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2018 was 0.93.

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

LUXTY's Debt-to-EBITDA is not ranked *
in the Retail - Cyclical industry.
Industry Median: 2.635
* Ranked among companies with meaningful Debt-to-EBITDA only.

Luxottica Group SpA Debt-to-EBITDA Historical Data

The historical data trend for Luxottica Group SpA'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.

Luxottica Group SpA Debt-to-EBITDA Chart

Luxottica Group SpA Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.46 1.59 1.01 1.08 1.02

Luxottica Group SpA Semi-Annual Data
Dec08 Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18
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 0.90 1.20 0.85 1.36 0.93

Competitive Comparison of Luxottica Group SpA's Debt-to-EBITDA

For the Apparel Retail subindustry, Luxottica Group SpA'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.


Luxottica Group SpA's Debt-to-EBITDA Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Luxottica Group SpA's Debt-to-EBITDA distribution charts can be found below:

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



Luxottica Group SpA Debt-to-EBITDA Calculation

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

Luxottica Group SpA's Debt-to-EBITDA for the fiscal year that ended in Dec. 2017 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(269.701 + 1977.847) / 2198.679
=1.02

Luxottica Group SpA's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2018 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(892.063 + 1310.754) / 2365.75
=0.93

* 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. 2018) EBITDA data.


Luxottica Group SpA  (OTCPK:LUXTY) 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.


Luxottica Group SpA Debt-to-EBITDA Related Terms

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


Luxottica Group SpA (Luxottica Group SpA) Business Description

Traded in Other Exchanges
N/A
Address
Piazzale L. Cadorna, 3, Milan, ITA, 20123
Luxottica designs, manufactures, and distributes high-quality prescription eyewear, frames and sunglasses. The company markets owned brands, including Ray-Ban, Oakley, Revo, and Arnette, as well as licensed brands, including Coach, Prada, Kors, and Polo Ralph Lauren. Luxottica is North America's largest eyewear retailer, with over 4,600 stores, through its Sunglass Hut, LensCrafters, Pearle Vision, Target Optical, and Ilori brands. The company also operates retail chains in Asia, Australia, South America, and Israel, totalling over 7,000 doors.

Luxottica Group SpA (Luxottica Group SpA) Headlines

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