Ramsay Health Care (ASX:RHC) Debt-to-EBITDA : 5.29 (As of Dec. 2023)

View and export this data going back to 1997. Start your Free Trial

What is Ramsay Health Care Debt-to-EBITDA?

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

Ramsay Health Care's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was A$513 Mil. Ramsay Health Care's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was A$10,571 Mil. Ramsay Health Care's annualized EBITDA for the quarter that ended in Dec. 2023 was A$2,095 Mil. Ramsay Health Care's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 5.29.

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 Ramsay Health Care's Debt-to-EBITDA or its related term are showing as below:

ASX:RHC' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1.99 Med: 3.64 Max: 6.69
Current: 6.24

During the past 13 years, the highest Debt-to-EBITDA Ratio of Ramsay Health Care was 6.69. The lowest was 1.99. And the median was 3.64.

ASX:RHC's Debt-to-EBITDA is ranked worse than
80.19% of 419 companies
in the Healthcare Providers & Services industry
Industry Median: 2.57 vs ASX:RHC: 6.24

Ramsay Health Care Debt-to-EBITDA Historical Data

The historical data trend for Ramsay Health Care'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.

Ramsay Health Care Debt-to-EBITDA Chart

Ramsay Health Care Annual Data

Trend

Jun14

Jun15

Jun16

Jun17

Jun18

Jun19

Jun20

Jun21

Jun22

Jun23

Debt-to-EBITDA

Get a 7-Day Free Trial

3.73

6.16

5.85

6.63

6.69

Ramsay Health Care Semi-Annual Data
	Jun14	Dec14	Jun15	Dec15	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23
Debt-to-EBITDA	Get a 7-Day Free Trial															4.64	8.11	5.44	8.17	5.29

Competitive Comparison of Ramsay Health Care's Debt-to-EBITDA

For the Medical Care Facilities subindustry, Ramsay Health Care'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.

Ramsay Health Care's Debt-to-EBITDA Distribution in the Healthcare Providers & Services Industry

For the Healthcare Providers & Services industry and Healthcare sector, Ramsay Health Care's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Ramsay Health Care's Debt-to-EBITDA falls into.

Ramsay Health Care Debt-to-EBITDA Calculation

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

Ramsay Health Care's Debt-to-EBITDA for the fiscal year that ended in Jun. 2023 is calculated as

Debt-to-EBITDA	=	Total Debt			/	EBITDA
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	EBITDA
	=	(486.8	+	11399.5)	/	1777.4
	=	6.69

Ramsay Health Care's annualized Debt-to-EBITDA for the quarter 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
	=	(512.7	+	10570.7)	/	2095.2
	=	5.29

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 (Dec. 2023) EBITDA data.

Ramsay Health Care (ASX:RHC) 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.

Ramsay Health Care Debt-to-EBITDA Related Terms

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

Ramsay Health Care (ASX:RHC) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Healthcare Providers & Services » Ramsay Health Care Ltd (ASX:RHC) » Definitions » Debt-to-EBITDA

Comparable Companies

Traded in Other Exchanges

RMYHY:USA RMSYF:USA RMY:Germany RHCPA.PFD:Australia

Address

126 Phillip Street, Suite 18.03, Level 18, Deutsche Bank Place, Sydney, NSW, AUS, 2000

Website

https://www.ramsayhealth.com

Ramsay Health Care is one of the largest private healthcare providers in the world, with over 460 facilities across 10 countries. The key markets in which it operates are Australia, France, the U.K., and Sweden. It is the largest private hospital group in each of these markets except for the U.K. where it ranks fifth. Ramsay Sante, which operates the European regions other than the U.K., is a 52.5%-owned subsidiary of Ramsay Health Care. The company typically earns about 60% of consolidated earnings in Australia and 30% in France. Ramsay Health Care undertakes both private and publicly funded healthcare.

Ramsay Health Care (ASX:RHC) Headlines

No Headlines