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SJM (JM Smucker Co) Debt-to-EBITDA : 7.14 (As of Oct. 2024)


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What is JM Smucker Co Debt-to-EBITDA?

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

JM Smucker Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Oct. 2024 was $1,488 Mil. JM Smucker Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Oct. 2024 was $6,895 Mil. JM Smucker Co's annualized EBITDA for the quarter that ended in Oct. 2024 was $1,174 Mil. JM Smucker Co's annualized Debt-to-EBITDA for the quarter that ended in Oct. 2024 was 7.14.

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

SJM' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 2.72   Med: 3.59   Max: 7.71
Current: 4.87

During the past 13 years, the highest Debt-to-EBITDA Ratio of JM Smucker Co was 7.71. The lowest was 2.72. And the median was 3.59.

SJM's Debt-to-EBITDA is ranked worse than
76.49% of 1497 companies
in the Consumer Packaged Goods industry
Industry Median: 2.05 vs SJM: 4.87

JM Smucker Co Debt-to-EBITDA Historical Data

The historical data trend for JM Smucker 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.

JM Smucker Co Debt-to-EBITDA Chart

JM Smucker Co Annual Data
Trend Apr15 Apr16 Apr17 Apr18 Apr19 Apr20 Apr21 Apr22 Apr23 Apr24
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.48 2.72 3.15 7.71 5.05

JM Smucker Co Quarterly Data
Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24
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 5.26 5.22 3.99 4.53 7.14

Competitive Comparison of JM Smucker Co's Debt-to-EBITDA

For the Packaged Foods subindustry, JM Smucker 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.


JM Smucker Co's Debt-to-EBITDA Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, JM Smucker Co's Debt-to-EBITDA distribution charts can be found below:

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



JM Smucker Co Debt-to-EBITDA Calculation

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

JM Smucker Co's Debt-to-EBITDA for the fiscal year that ended in Apr. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(1630.8 + 6917.2) / 1691.5
=5.05

JM Smucker Co's annualized Debt-to-EBITDA for the quarter that ended in Oct. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(1487.7 + 6894.6) / 1174
=7.14

* 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 (Oct. 2024) EBITDA data.


JM Smucker Co  (NYSE:SJM) 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.


JM Smucker Co Debt-to-EBITDA Related Terms

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


JM Smucker Co Business Description

Traded in Other Exchanges
Address
One Strawberry Lane, Orrville, OH, USA, 44667-0280
J.M. Smucker is a packaged food company that primarily sells through the US retail channel (78% of fiscal 2024 revenue came through its retail pet foods, coffee, and frozen handheld/spreads segments), with the remaining share consisting of Hostess and international (primarily Canada). Retail coffee is its largest category (33% of sales) with brands Folgers and Dunkin'. Pet foods (22% of sales) holds leading brands like Milk-Bone and Meow Mix. Of its remaining, approximately 22% comes from consumer foods, primarily peanut butter and jelly, through brands Jif and Smucker's. The company acquired Hostess Brands in fiscal 2024 to boost its snack and convenience store presence.
Executives
Mark T Smucker officer: Vice President
Jeannette L Knudsen officer: Chief Legal & Compliance Offic ONE STRAWBERRY LANE, ORRVILLE OH 44667
Tarang Amin director C/O SCHIFF NUTRITION INTERNATIONAL, INC., 2002 SOUTH 5070 WEST, SALT LAKE CITY UT 84104
Tucker H Marshall officer: Chief Financial Officer ONE STRAWBERRY LANE, ORRVILLE OH 44667
Amy C Held officer: Chief Strategy & Int'l Officer ONE STRAWBERRY LANE, ORRVILLE OH 44667
Mercedes Abramo director ONE STRAWBERRY LANE, ORRVILLE OH 44667
Richard K Smucker director, officer: President C/ WM WRIGLEY JR CO, 410 N MICHIGAN AVE, CHICAGO IL 60611
Jill R Penrose officer: Chief People & Admin Officer ONE STRAWBERRY LANE, ORRVILLE OH 44667
John P Brase officer: Chief Operating Officer ONE STRAWBERRY LANE, ORRVILLE OH 44667
Geoff E Tanner officer: Chief Marketing & Commercial ONE STRAWBERRY LANE, ORRVILLE OH 44667
Johnson Jonathan E Iii director 6322 S 300 S, STE 100, SALT LAKE CITY UT 84121
Nancy Lopez Knight director 2308 TARA DRIVE, ALBANY GA 31721
Jay L Henderson director 50 SOUTH LASALLE ST, CHICAGO IL 60603
Alex Shumate director 41 S HIGH ST, STE 1300, COLUMBUS OH 43215
Sandra Pianalto director 1000 EATON BOULEVARD, CLEVELAND OH 44122