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Locaweb Servicos de Internet (BSP:LWSA3) Debt-to-EBITDA

: -0.41 (As of Dec. 2023)
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Debt-to-EBITDA measures a company's ability to pay off its debt.

Locaweb Servicos de Internet's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was R$14 Mil. Locaweb Servicos de Internet's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was R$64 Mil. Locaweb Servicos de Internet's annualized EBITDA for the quarter that ended in Dec. 2023 was R$-191 Mil. Locaweb Servicos de Internet's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was -0.40.

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 Locaweb Servicos de Internet's Debt-to-EBITDA or its related term are showing as below:

BSP:LWSA3' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.45   Med: 1.2   Max: 5.36
Current: 0.45

During the past 9 years, the highest Debt-to-EBITDA Ratio of Locaweb Servicos de Internet was 5.36. The lowest was 0.45. And the median was 1.20.

BSP:LWSA3's Debt-to-EBITDA is ranked better than
65.83% of 1592 companies
in the Software industry
Industry Median: 1.04 vs BSP:LWSA3: 0.45

Locaweb Servicos de Internet Debt-to-EBITDA Historical Data

The historical data trend for Locaweb Servicos de Internet'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.

Locaweb Servicos de Internet Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only 1.89 1.23 0.98 0.46 5.36

Locaweb Servicos de Internet Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
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 0.43 0.41 0.21 0.20 -0.41

Competitive Comparison

For the Software - Infrastructure subindustry, Locaweb Servicos de Internet'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.


Locaweb Servicos de Internet Debt-to-EBITDA Distribution

For the Software industry and Technology sector, Locaweb Servicos de Internet's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Locaweb Servicos de Internet's Debt-to-EBITDA falls into.



Locaweb Servicos de Internet Debt-to-EBITDA Calculation

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

Locaweb Servicos de Internet'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
=(13.754 + 63.675) / 14.437
=5.36

Locaweb Servicos de Internet'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
=(13.754 + 63.675) / -191.304
=-0.40

* 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 (Dec. 2023) EBITDA data.


Locaweb Servicos de Internet  (BSP:LWSA3) 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.


Locaweb Servicos de Internet Debt-to-EBITDA Related Terms

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


Locaweb Servicos de Internet (BSP:LWSA3) Business Description

Traded in Other Exchanges
N/A
Address
Rua Itapaiuna, 2.434, Vila Andrade, Sao Paulo, SP, BRA, 05707-001
Locaweb Servicos de Internet SA is a Brazil-based software company. It offers digital marketing, cloud, and accommodation services such as website hosting, WordPress hosting, domain register, and email services. The operations of the Company and its subsidiaries are divided into two operating segments: Be Online and SaaS and Commerce. The Be Online and SaaS segment includes hosting and cloud services, as well as those called SaaS (email, marketing intelligence software, and site builder). The Commerce segment includes e-commerce solutions, platforms, marketplace integration, and sub-acquiring business services.

Locaweb Servicos de Internet (BSP:LWSA3) Headlines

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