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Wuhunlian Forging Co (SZSE:001282) Debt-to-EBITDA : 1.32 (As of Sep. 2024)


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What is Wuhunlian Forging Co Debt-to-EBITDA?

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

Wuhunlian Forging Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2024 was ¥195 Mil. Wuhunlian Forging Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Sep. 2024 was ¥0 Mil. Wuhunlian Forging Co's annualized EBITDA for the quarter that ended in Sep. 2024 was ¥149 Mil. Wuhunlian Forging Co's annualized Debt-to-EBITDA for the quarter that ended in Sep. 2024 was 1.31.

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

SZSE:001282' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.21   Med: 1.2   Max: 1.52
Current: 1.25

During the past 5 years, the highest Debt-to-EBITDA Ratio of Wuhunlian Forging Co was 1.52. The lowest was 0.21. And the median was 1.20.

SZSE:001282's Debt-to-EBITDA is ranked better than
68.76% of 1050 companies
in the Vehicles & Parts industry
Industry Median: 2.365 vs SZSE:001282: 1.25

Wuhunlian Forging Co Debt-to-EBITDA Historical Data

The historical data trend for Wuhunlian Forging 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.

Wuhunlian Forging Co Debt-to-EBITDA Chart

Wuhunlian Forging Co Annual Data
Trend Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
1.24 1.16 - 1.52 0.21

Wuhunlian Forging Co Quarterly Data
Dec19 Dec20 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 0.26 0.24 0.41 1.03 1.32

Competitive Comparison of Wuhunlian Forging Co's Debt-to-EBITDA

For the Auto Parts subindustry, Wuhunlian Forging 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.


Wuhunlian Forging Co's Debt-to-EBITDA Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Wuhunlian Forging Co's Debt-to-EBITDA distribution charts can be found below:

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



Wuhunlian Forging Co Debt-to-EBITDA Calculation

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

Wuhunlian Forging Co'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
=(42.483 + 1.578) / 209.457
=0.21

Wuhunlian Forging Co'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
=(195.089 + 0.205) / 148.564
=1.31

* 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 (Sep. 2024) EBITDA data.


Wuhunlian Forging Co  (SZSE:001282) 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.


Wuhunlian Forging Co Debt-to-EBITDA Related Terms

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


Wuhunlian Forging Co Business Description

Traded in Other Exchanges
N/A
Address
No. 20, Tianjingshan Road, High-tech Industrial Development Zone, Anhui, Wuhu, CHN, 241003
Wuhu Sanlian Forging Co Ltd is mainly engaged in the Research & Development, production, and sales of automotive forged parts. The company's products are mainly used in automotive power systems, transmission systems, steering systems, suspension supports and other systems that require high mechanical performance and safety performance of parts. The company actively develops and deploys the application of forged parts in new energy vehicles, and participates in the development of forged parts for new energy vehicle platforms of well-known OEMs.

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