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Kunshan Asia Aroma (SZSE:301220) Debt-to-EBITDA : 2.34 (As of Mar. 2024)


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What is Kunshan Asia Aroma Debt-to-EBITDA?

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

Kunshan Asia Aroma's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was ¥168.8 Mil. Kunshan Asia Aroma's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was ¥30.0 Mil. Kunshan Asia Aroma's annualized EBITDA for the quarter that ended in Mar. 2024 was ¥85.0 Mil. Kunshan Asia Aroma's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was 2.34.

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 Kunshan Asia Aroma's Debt-to-EBITDA or its related term are showing as below:

SZSE:301220' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.36   Med: 1.11   Max: 2.25
Current: 2.25

During the past 8 years, the highest Debt-to-EBITDA Ratio of Kunshan Asia Aroma was 2.25. The lowest was 0.36. And the median was 1.11.

SZSE:301220's Debt-to-EBITDA is ranked better than
51.07% of 1214 companies
in the Chemicals industry
Industry Median: 2.32 vs SZSE:301220: 2.25

Kunshan Asia Aroma Debt-to-EBITDA Historical Data

The historical data trend for Kunshan Asia Aroma'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.

Kunshan Asia Aroma Debt-to-EBITDA Chart

Kunshan Asia Aroma Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial 1.55 1.77 1.54 0.36 1.13

Kunshan Asia Aroma Quarterly Data
Dec18 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 0.92 1.15 1.40 3.05 2.34

Competitive Comparison of Kunshan Asia Aroma's Debt-to-EBITDA

For the Chemicals subindustry, Kunshan Asia Aroma'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.


Kunshan Asia Aroma's Debt-to-EBITDA Distribution in the Chemicals Industry

For the Chemicals industry and Basic Materials sector, Kunshan Asia Aroma's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Kunshan Asia Aroma's Debt-to-EBITDA falls into.



Kunshan Asia Aroma Debt-to-EBITDA Calculation

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

Kunshan Asia Aroma'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
=(124.938 + 20.025) / 127.835
=1.13

Kunshan Asia Aroma's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(168.81 + 30.037) / 85.008
=2.34

* 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. 2024) EBITDA data.


Kunshan Asia Aroma  (SZSE:301220) 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.


Kunshan Asia Aroma Debt-to-EBITDA Related Terms

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


Kunshan Asia Aroma (SZSE:301220) Business Description

Traded in Other Exchanges
N/A
Address
No. 269 Wenpu Middle Road, Qiandeng Town, Kunshan City, Jiangsu Province, Suzhou, CHN, 215341
Kunshan Asia Aroma Corp Ltd is engaged in the research and development, production and sales of spices.

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