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OVH Groupe (XPAR:OVH) Debt-to-EBITDA : 2.41 (As of Feb. 2024)


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What is OVH Groupe Debt-to-EBITDA?

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

OVH Groupe's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2024 was €33.1 Mil. OVH Groupe's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2024 was €808.1 Mil. OVH Groupe's annualized EBITDA for the quarter that ended in Feb. 2024 was €349.1 Mil. OVH Groupe's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2024 was 2.41.

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 OVH Groupe's Debt-to-EBITDA or its related term are showing as below:

XPAR:OVH' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 2.08   Med: 2.46   Max: 3.26
Current: 2.5

During the past 7 years, the highest Debt-to-EBITDA Ratio of OVH Groupe was 3.26. The lowest was 2.08. And the median was 2.46.

XPAR:OVH's Debt-to-EBITDA is ranked worse than
70.18% of 1613 companies
in the Software industry
Industry Median: 1.06 vs XPAR:OVH: 2.50

OVH Groupe Debt-to-EBITDA Historical Data

The historical data trend for OVH Groupe'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.

OVH Groupe Debt-to-EBITDA Chart

OVH Groupe Annual Data
Trend Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23
Debt-to-EBITDA
Get a 7-Day Free Trial 2.08 2.79 3.26 2.31 2.60

OVH Groupe Semi-Annual Data
Aug18 Aug19 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24
Debt-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only 2.45 2.01 0.31 2.42 2.41

Competitive Comparison of OVH Groupe's Debt-to-EBITDA

For the Software - Infrastructure subindustry, OVH Groupe'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.


OVH Groupe's Debt-to-EBITDA Distribution in the Software Industry

For the Software industry and Technology sector, OVH Groupe's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where OVH Groupe's Debt-to-EBITDA falls into.



OVH Groupe Debt-to-EBITDA Calculation

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

OVH Groupe's Debt-to-EBITDA for the fiscal year that ended in Aug. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(26.12 + 757.735) / 301.45
=2.60

OVH Groupe's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(33.106 + 808.137) / 349.12
=2.41

* 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 two times the quarterly (Feb. 2024) EBITDA data.


OVH Groupe  (XPAR:OVH) 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.


OVH Groupe Debt-to-EBITDA Related Terms

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


OVH Groupe (XPAR:OVH) Business Description

Traded in Other Exchanges
Address
2 rue Kellermann, Roubaix, FRA, 59100
OVH Groupe is a provider of cloud services, occupying a unique position in the cloud market. It provides businesses with a complete suite of solutions designed to meet the growing demand for multi-cloud and hybrid cloud strategies, addressing a wide range of needs and customer segments.

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