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Riviera Tool Co (Riviera Tool Co) Debt-to-EBITDA : 6.00 (As of Nov. 2006)


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What is Riviera Tool Co Debt-to-EBITDA?

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

Riviera Tool Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Nov. 2006 was $2.88 Mil. Riviera Tool Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Nov. 2006 was $9.79 Mil. Riviera Tool Co's annualized EBITDA for the quarter that ended in Nov. 2006 was $2.11 Mil. Riviera Tool Co's annualized Debt-to-EBITDA for the quarter that ended in Nov. 2006 was 6.00.

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 Riviera Tool Co's Debt-to-EBITDA or its related term are showing as below:

RIVT's Debt-to-EBITDA is not ranked *
in the Industrial Products industry.
Industry Median: 1.7
* Ranked among companies with meaningful Debt-to-EBITDA only.

Riviera Tool Co Debt-to-EBITDA Historical Data

The historical data trend for Riviera Tool Co'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.

Riviera Tool Co Debt-to-EBITDA Chart

Riviera Tool Co Annual Data
Trend Aug97 Aug98 Aug99 Aug00 Aug01 Aug02 Aug03 Aug04 Aug05 Aug06
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only -27.54 2.56 -2.81 2.11 5.49

Riviera Tool Co Quarterly Data
Feb02 May02 Aug02 Nov02 Feb03 May03 Aug03 Nov03 Feb04 May04 Aug04 Nov04 Feb05 May05 Aug05 Nov05 Feb06 May06 Aug06 Nov06
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 6.87 4.38 3.27 1,595.00 6.00

Competitive Comparison of Riviera Tool Co's Debt-to-EBITDA

For the Metal Fabrication subindustry, Riviera Tool Co'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.


Riviera Tool Co's Debt-to-EBITDA Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Riviera Tool Co's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Riviera Tool Co's Debt-to-EBITDA falls into.



Riviera Tool Co Debt-to-EBITDA Calculation

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

Riviera Tool Co's Debt-to-EBITDA for the fiscal year that ended in Aug. 2006 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(1.758 + 11.002) / 2.325
=5.49

Riviera Tool Co's annualized Debt-to-EBITDA for the quarter that ended in Nov. 2006 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(2.884 + 9.791) / 2.112
=6.00

* 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 (Nov. 2006) EBITDA data.


Riviera Tool Co  (OTCPK:RIVT) 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.


Riviera Tool Co Debt-to-EBITDA Related Terms

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


Riviera Tool Co (Riviera Tool Co) Business Description

Traded in Other Exchanges
N/A
Address
5460 Executive Parkway S.E., Grand Rapids, MI, USA, 49512
Riviera Tool Co designs and manufactures large stamping die systems used to form sheet metal parts. These systems are used by automobile manufacturers to produce automobile and truck body parts such as roofs, hoods, fenders, doors, door frames, structural components, and bumpers. The company's customers include major automobile manufacturers.

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