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Reddy Ice Holdings (Reddy Ice Holdings) Debt-to-EBITDA : -6.96 (As of Mar. 2012)


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What is Reddy Ice Holdings Debt-to-EBITDA?

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

Reddy Ice Holdings's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2012 was $500.73 Mil. Reddy Ice Holdings's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2012 was $0.10 Mil. Reddy Ice Holdings's annualized EBITDA for the quarter that ended in Mar. 2012 was $-71.97 Mil. Reddy Ice Holdings's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2012 was -6.96.

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 Reddy Ice Holdings's Debt-to-EBITDA or its related term are showing as below:

RDDCP.PFD's Debt-to-EBITDA is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 2.16
* Ranked among companies with meaningful Debt-to-EBITDA only.

Reddy Ice Holdings Debt-to-EBITDA Historical Data

The historical data trend for Reddy Ice Holdings'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.

Reddy Ice Holdings Debt-to-EBITDA Chart

Reddy Ice Holdings Annual Data
Trend Dec02 Dec03 Dec04 Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.13 -4.74 6.18 16.73 16.96

Reddy Ice Holdings Quarterly Data
Jun07 Sep07 Dec07 Mar08 Jun08 Sep08 Dec08 Mar09 Jun09 Sep09 Dec09 Mar10 Jun10 Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12
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 -10.09 5.36 4.02 -9.74 -6.96

Competitive Comparison of Reddy Ice Holdings's Debt-to-EBITDA

For the Packaged Foods subindustry, Reddy Ice Holdings'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.


Reddy Ice Holdings's Debt-to-EBITDA Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Reddy Ice Holdings's Debt-to-EBITDA distribution charts can be found below:

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



Reddy Ice Holdings Debt-to-EBITDA Calculation

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

Reddy Ice Holdings's Debt-to-EBITDA for the fiscal year that ended in Dec. 2011 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(471.405 + 0.1) / 27.799
=16.96

Reddy Ice Holdings's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2012 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(500.733 + 0.099) / -71.972
=-6.96

* 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 (Mar. 2012) EBITDA data.


Reddy Ice Holdings  (GREY:RDDCP.PFD) 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.


Reddy Ice Holdings Debt-to-EBITDA Related Terms

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


Reddy Ice Holdings (Reddy Ice Holdings) Business Description

Traded in Other Exchanges
N/A
Address
8750 North Central Expressway, Suite 1800, Dallas, TX, USA, 75231
Reddy Ice Holdings, Inc. is a manufacturer and distributor of packaged ice in the United States.

Reddy Ice Holdings (Reddy Ice Holdings) Headlines

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