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RBBN (Ribbon Communications) Debt-to-EBITDA : 2.71 (As of Dec. 2024)


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What is Ribbon Communications Debt-to-EBITDA?

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

Ribbon Communications's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was $15.6 Mil. Ribbon Communications's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2024 was $368.1 Mil. Ribbon Communications's annualized EBITDA for the quarter that ended in Dec. 2024 was $141.4 Mil. Ribbon Communications's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2024 was 2.71.

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

RBBN' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -23.75   Med: -2.91   Max: 7.31
Current: 7.31

During the past 13 years, the highest Debt-to-EBITDA Ratio of Ribbon Communications was 7.31. The lowest was -23.75. And the median was -2.91.

RBBN's Debt-to-EBITDA is ranked worse than
89.97% of 1675 companies
in the Software industry
Industry Median: 1.08 vs RBBN: 7.31

Ribbon Communications Debt-to-EBITDA Historical Data

The historical data trend for Ribbon Communications'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.

Ribbon Communications Debt-to-EBITDA Chart

Ribbon Communications Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.46 -4.07 -23.75 6.63 7.31

Ribbon Communications Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
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 2.38 -16.45 19.14 5.83 2.71

Competitive Comparison of Ribbon Communications's Debt-to-EBITDA

For the Software - Application subindustry, Ribbon Communications'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.


Ribbon Communications's Debt-to-EBITDA Distribution in the Software Industry

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

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


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Ribbon Communications Debt-to-EBITDA Calculation

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

Ribbon Communications's Debt-to-EBITDA for the fiscal year that ended in Dec. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(15.568 + 368.102) / 52.482
=7.31

Ribbon Communications's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(15.568 + 368.102) / 141.444
=2.71

* 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 four times the quarterly (Dec. 2024) EBITDA data.


Ribbon Communications  (NAS:RBBN) 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.


Ribbon Communications Debt-to-EBITDA Related Terms

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


Ribbon Communications Business Description

Traded in Other Exchanges
Address
6500 Chase Oaks Boulevard, Suite 100, Plano, TX, USA, 75023
Ribbon Communications Inc provides network solutions to service providers and enterprises. The company enables service providers and enterprises to modernize their communications networks and provide secure real-time communications solutions to their customers and employees. The company has two separate lines of business; the Cloud and Edge segment, and the IP Optical Networks segment. The majority of the revenue for the company is generated from its Cloud and Edge segment that provides secure and reliable software and hardware products, solutions, and services for VoIP communications, Voice Over LTE among others to service providers and enterprise customers. The company generates majority of its revenue from United States.
Executives
Jpmorgan Chase & Co 10 percent owner 383 MADISON AVENUE, NEW YORK NY 10017
Beatriz V Infante director 4 TECHNOLOGY PARK DRIVE, SONUS NETWORKS, INC., WESTFORD MA 01886
Bruns H Grayson director 950 WINTER STREET, WALTHAM MA 02451
Miguel A Lopez officer: EVP, CFO HARRIS CORPORATION, 1025 W NASA BOULEVARD, MELBOURNE FL 32919
Bruce William Mcclelland director, officer: President & CEO 3871 LAKEFIELD DRIVE, SUWANEE GA 30024
Patrick W Macken officer: EVP, Chief Legal Officer 4515 THREE CHIMNEYS LANE, CUMMING GA 30041
Dan Redington officer: EVP of Global Sales 6500 CHASE OAKS BOULEVARD, SUITE 100, PLANO TX 75023
Scott Mair director 6500 CHASE OAKS BOULEVARD, SUITE 100, PLANO TX 75023
Swarth Investments Inc. 10 percent owner NEWPORT HOUSE, 15 THE GRANGE, ST PETER PORT Y7 GY1 4LA
Sam Bucci officer: EVP & GM IP Optical Networks 3605 E PLANO PARKWAY, PLANO TX 75074
Stephen J. Mccaffery officer: EVP EMEAS and APAC Sales VICTORIA ROAD, WEST YORKSHIRE, SALTAIRE X0 BD183LF
Eric S Marmurek officer: SVP, Finance & CAO C/O 4 TECHNOLOGY PARK DRIVE, WESTFORD MA 01886
Krish A Prabhu director
Anthony Scarfo officer: EVP & GM, Cloud & Edge BU C/O 4 TECHNOLOGY PARK DRIVE, WESTFORD MA 01886
Tanya Tamone director 3605 E PLANO PARKWAY, PLANO TX 75074