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Weichai Power Co (WBO:WI4) Debt-to-EBITDA : 2.23 (As of Mar. 2024)


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What is Weichai Power Co Debt-to-EBITDA?

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

Weichai Power Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €1,926 Mil. Weichai Power Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was €3,931 Mil. Weichai Power Co's annualized EBITDA for the quarter that ended in Mar. 2024 was €2,623 Mil. Weichai Power Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was 2.23.

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

WBO:WI4' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.4   Med: 1.96   Max: 3.57
Current: 2.47

During the past 13 years, the highest Debt-to-EBITDA Ratio of Weichai Power Co was 3.57. The lowest was 1.40. And the median was 1.96.

WBO:WI4's Debt-to-EBITDA is ranked worse than
60.01% of 2298 companies
in the Industrial Products industry
Industry Median: 1.75 vs WBO:WI4: 2.47

Weichai Power Co Debt-to-EBITDA Historical Data

The historical data trend for Weichai Power 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.

Weichai Power Co Debt-to-EBITDA Chart

Weichai Power Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.93 1.99 1.40 2.65 1.69

Weichai Power Co Quarterly Data
Jun19 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 3.98 3.07 2.47 2.57 2.23

Competitive Comparison of Weichai Power Co's Debt-to-EBITDA

For the Specialty Industrial Machinery subindustry, Weichai Power 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.


Weichai Power Co's Debt-to-EBITDA Distribution in the Industrial Products Industry

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

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



Weichai Power Co Debt-to-EBITDA Calculation

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

Weichai Power 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
=(2176.74 + 3991.758) / 3649.304
=1.69

Weichai Power Co'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
=(1925.6 + 3930.787) / 2622.64
=2.23

* 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.


Weichai Power Co  (WBO:WI4) 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.


Weichai Power Co Debt-to-EBITDA Related Terms

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


Weichai Power Co (WBO:WI4) Business Description

Address
197, Section A, Fu Shou East Street, High Technology Industrial Development Zone, Shandong Province, Weifang, CHN, 261061
Weichai Power Co Ltd is an industrial technology company that offers vehicles, equipment, and logistics and supply chain services in China. The operating segments of the company are 1) Engines segment includes the manufacturing and sale of engines and related parts; 2) Automobiles and automobile components include the manufacturing and sale of automobiles and automobile components other than Engines; 3) Agricultural equipment includes the manufacturing and sale of agricultural equipment (complete machineries), agricultural machineries, agricultural vehicles and related parts; 4) Intelligent logistics includes forklift trucks production, warehousing technology and supply chain solution services.

Weichai Power Co (WBO:WI4) Headlines

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