RHCCF (Royal Helium) Debt-to-EBITDA : -5.82 (As of Sep. 2024)

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What is Royal Helium Debt-to-EBITDA?

Royal Helium RHCCF Debt-to-EBITDA is -5.82 as of Sep. 2024.

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

Royal Helium's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2024 was $7.76 Mil. Royal Helium's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2024 was $17.72 Mil. Royal Helium's annualized EBITDA for the quarter that ended in Sep. 2024 was $-4.38 Mil. Royal Helium's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2024 was -5.82.

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 Royal Helium's Debt-to-EBITDA or its related term are showing as below:

RHCCF's Debt-to-EBITDA is not ranked ^*
in the Oil & Gas industry.
Industry Median: 2.015
* Ranked among companies with meaningful Debt-to-EBITDA only.

Royal Helium (OTCPK:RHCCF) 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.

Royal Helium Debt-to-EBITDA Related Terms

Royal Helium Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Royal Helium'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.

Royal Helium Debt-to-EBITDA Chart

Royal Helium Annual Data

Trend

Jul14

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Dec20

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Dec23

Debt-to-EBITDA

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0.00

-4.73

Royal Helium Quarterly Data
	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24
Debt-to-EBITDA	Get a 7-Day Free Trial															-10.47	-2.55	-4.00	-5.07	-5.82

RHCCF vs GRVE, SPOWF, LEEN: Debt-to-EBITDA Comparison

For the Oil & Gas E&P subindustry, Royal Helium'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.

Royal Helium Debt-to-EBITDA vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Royal Helium's Debt-to-EBITDA distribution charts can be found below:

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

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Royal Helium Debt-to-EBITDA Calculation

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

Royal Helium's Debt-to-EBITDA for the fiscal year 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
	=	(3.638	+	22.832)	/	-5.602
	=	-4.73

Royal Helium's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2024 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(7.76	+	17.719)	/	-4.376
	=	-5.82

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 (Sep. 2024) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →

What does a Debt-to-EBITDA of -5.82 mean?

Royal Helium (RHCCF) has a Debt-to-EBITDA of -5.82 as of Sep. 2024. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Royal Helium.

Is Royal Helium's Debt-to-EBITDA too high?

Royal Helium's current Debt-to-EBITDA is -5.82.

How does Royal Helium's Debt-to-EBITDA compare to GRVE and SPOWF?

Royal Helium's Debt-to-EBITDA of -5.82 can be compared against companies in the Oil & Gas industry. The industry median Debt-to-EBITDA is 2.02. 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 an Oil & Gas company?

The median Debt-to-EBITDA among Oil & Gas companies is 2.02, based on 704 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. 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 Royal Helium. For the Oil & Gas industry, the median Debt-to-EBITDA is 2.02 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Royal Helium's current Debt-to-EBITDA is -5.82. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Royal Helium stock overvalued right now?

Royal Helium (RHCCF) has a current Debt-to-EBITDA of -5.82. The current Debt-to-EBITDA is -5.82. 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 Royal Helium (RHCCF), the current Debt-to-EBITDA is -5.82 as of Sep. 2024. 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.

Royal Helium Business Description

Industry Energy Oil & Gas

Comparable Companies GRVE SPOWF LEEN FOMI PTCO CRCE MMEX FECOF COP HKSE:00883 TSX:CNQ EOG OXY FANG MIC:NVTK EQT ASX:WDS EXE DVN TSE:1605

Address 224, 4th Avenue South, Suite 602, Saskatoon, SK, CAN, S7K 5M5

Website https://www.royalheliumltd.com

Royal Helium Ltd is focused on the exploration and development of primary helium production in southern Saskatchewan. Royal is the helium leaseholder in North America. Located next to highways, roads, and cities, and importantly close to existing oil and gas infrastructure, the company's projects were methodically evaluated for helium potential for over two years, and have been vetted by helium experts, professional geologists, and engineers. The company's project includes Saskatchewan Helium Play Elements for Success.