GURUFOCUS.COM » STOCK LIST » Basic Materials » Building Materials » Fletcher Building Ltd (NZSE:FBU) » Definitions » Debt-to-EBITDA

Fletcher Building (NZSE:FBU) Debt-to-EBITDA : 9.63 (As of Dec. 2023)


View and export this data going back to 2001. Start your Free Trial

What is Fletcher Building Debt-to-EBITDA?

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

Fletcher Building's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was NZ$274 Mil. Fletcher Building's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was NZ$3,501 Mil. Fletcher Building's annualized EBITDA for the quarter that ended in Dec. 2023 was NZ$392 Mil. Fletcher Building's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 9.63.

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

NZSE:FBU' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.92   Med: 2.9   Max: 19.58
Current: 5.39

During the past 13 years, the highest Debt-to-EBITDA Ratio of Fletcher Building was 19.58. The lowest was 1.92. And the median was 2.90.

NZSE:FBU's Debt-to-EBITDA is ranked worse than
79.17% of 312 companies
in the Building Materials industry
Industry Median: 2.155 vs NZSE:FBU: 5.39

Fletcher Building Debt-to-EBITDA Historical Data

The historical data trend for Fletcher Building'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.

Fletcher Building Debt-to-EBITDA Chart

Fletcher Building Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.62 18.10 3.03 2.71 4.25

Fletcher Building Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
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 4.30 1.91 5.67 3.37 9.63

Competitive Comparison of Fletcher Building's Debt-to-EBITDA

For the Building Materials subindustry, Fletcher Building'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.


Fletcher Building's Debt-to-EBITDA Distribution in the Building Materials Industry

For the Building Materials industry and Basic Materials sector, Fletcher Building's Debt-to-EBITDA distribution charts can be found below:

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



Fletcher Building Debt-to-EBITDA Calculation

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

Fletcher Building's Debt-to-EBITDA for the fiscal year that ended in Jun. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(280 + 3119) / 799
=4.25

Fletcher Building's annualized Debt-to-EBITDA for the quarter 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
=(274 + 3501) / 392
=9.63

* 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 (Dec. 2023) EBITDA data.


Fletcher Building  (NZSE:FBU) 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.


Fletcher Building Debt-to-EBITDA Related Terms

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


Fletcher Building (NZSE:FBU) Business Description

Traded in Other Exchanges
Address
810 Great South Road, Penrose, Auckland, NTL, NZL, 1061
Fletcher Building is a New Zealand-based building materials company with operations focused in New Zealand, but also extending to Australia. It has a conglomerate structure with diverse operations across concrete, building products, steel, retail distribution, construction, and development. Having previously expanded internationally through acquisitions, operations have gradually refocused on the New Zealand and Australian businesses.

Fletcher Building (NZSE:FBU) Headlines

No Headlines