Pincon Spirit (NSE:PINCON) Debt-to-EBITDA : 3.06 (As of Sep. 2017)

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What is Pincon Spirit Debt-to-EBITDA?

Pincon Spirit NSE:PINCON Debt-to-EBITDA is 3.06 as of Sep. 2017.

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

Pincon Spirit's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2017 was ₹2,911 Mil. Pincon Spirit's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2017 was ₹646 Mil. Pincon Spirit's annualized EBITDA for the quarter that ended in Sep. 2017 was ₹1,163 Mil. Pincon Spirit's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2017 was 3.06.

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

NSE:PINCON's Debt-to-EBITDA is not ranked *
in the Beverages - Alcoholic industry.
Industry Median: 2.28
* Ranked among companies with meaningful Debt-to-EBITDA only.

Pincon Spirit  (NSE:PINCON) 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.


Pincon Spirit Debt-to-EBITDA Related Terms


Pincon Spirit Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Pincon Spirit'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.

Pincon Spirit Debt-to-EBITDA Chart

Pincon Spirit Annual Data
Trend Mar14 Mar15 Mar16 Mar17
Debt-to-EBITDA
3.34 4.32 4.37 3.11

Pincon Spirit Semi-Annual Data
Mar14 Mar15 Mar16 Sep16 Mar17 Sep17
Debt-to-EBITDA Get a 7-Day Free Trial N/A N/A 2.92 2.85 3.06

NSE:PINCON vs THST, JCTG, VDKB: Debt-to-EBITDA Comparison

For the Beverages - Wineries & Distilleries subindustry, Pincon Spirit'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.


Pincon Spirit Debt-to-EBITDA vs Beverages - Alcoholic Industry

For the Beverages - Alcoholic industry and Consumer Defensive sector, Pincon Spirit's Debt-to-EBITDA distribution charts can be found below:

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



Pincon Spirit Debt-to-EBITDA Calculation

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

Pincon Spirit's Debt-to-EBITDA for the fiscal year that ended in Mar. 2017 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2314.094 + 653.587) / 955.202
=3.11

Pincon Spirit's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2017 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2910.715 + 645.813) / 1163.418
=3.06

* 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. 2017) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of 3.06 mean?
Pincon Spirit (NSE:PINCON) has a Debt-to-EBITDA of 3.06 as of Sep. 2017. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Pincon Spirit.
Is Pincon Spirit's Debt-to-EBITDA too high?
Pincon Spirit's current Debt-to-EBITDA is 3.06. The Beverages - Alcoholic industry median Debt-to-EBITDA is 2.28. Pincon Spirit's value of 3.06 is 34.2% above this industry median.
How does Pincon Spirit's Debt-to-EBITDA compare to THST and JCTG?
Pincon Spirit's Debt-to-EBITDA of 3.06 can be compared against companies in the Beverages - Alcoholic industry. The industry median Debt-to-EBITDA is 2.28. Pincon Spirit's value of 3.06 is 34.2% above this benchmark. 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 Beverages - Alcoholic company?
The median Debt-to-EBITDA among Beverages - Alcoholic companies is 2.28, based on 158 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. Pincon Spirit's current Debt-to-EBITDA of 3.06 is 34.2% above the industry median. 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 Pincon Spirit. For the Beverages - Alcoholic industry, the median Debt-to-EBITDA is 2.28 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Pincon Spirit's current Debt-to-EBITDA is 3.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Pincon Spirit stock overvalued right now?
Pincon Spirit (NSE:PINCON) has a current Debt-to-EBITDA of 3.06. The current Debt-to-EBITDA is 3.06 and 34.2% above the Beverages - Alcoholic industry median of 2.28. 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 Pincon Spirit (NSE:PINCON), the current Debt-to-EBITDA is 3.06 as of Sep. 2017. 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.

Pincon Spirit Business Description

Address Number 103, 3rd Floor, Samskruthi Chambers, K.H Road, Shanthi Nagar, Bengaluru, KA, IND, 560027
Pincon Spirit Ltd is engaged in blending, bottling and wholesale distributions of Indian Made Foreign Liquor (IMFL), Indian Made Indian Liquor (IMIL) and refining, packaging and wholesale distributions of fast moving consumer goods. The company derives its revenue from its Indian Made Foreign Liquor (IMFL), Indian Made Indian Liquor (IMIL) segment. The Edible oils business segment is engaged in the manufacture of edible oils and the Company owns a refining and packaging unit.