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Charter Communications (Charter Communications) Debt-to-EBITDA

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

Charter Communications's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $2,000 Mil. Charter Communications's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $95,777 Mil. Charter Communications's annualized EBITDA for the quarter that ended in Dec. 2023 was $20,568 Mil. Charter Communications's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 4.75.

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 Charter Communications's Debt-to-EBITDA or its related term are showing as below:

CHTR' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 4.65   Med: 4.75   Max: 11.52
Current: 4.72

During the past 13 years, the highest Debt-to-EBITDA Ratio of Charter Communications was 11.52. The lowest was 4.65. And the median was 4.75.

CHTR's Debt-to-EBITDA is ranked worse than
81.01% of 316 companies
in the Telecommunication Services industry
Industry Median: 2.21 vs CHTR: 4.72

Charter Communications Debt-to-EBITDA Historical Data

The historical data trend for Charter Communications'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.

Array ( [0] => - [1] => - [2] => - [3] => - [4] => - [5] => 4.91 [6] => 4.65 [7] => 4.65 [8] => 4.67 [9] => 4.72 )
Charter Communications Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.91 4.65 4.65 4.67 4.72

Charter Communications 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 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 Premium Member Only Premium Member Only Premium Member Only 4.67 4.89 4.61 4.68 4.75

Competitive Comparison

For the Telecom Services subindustry, Charter Communications'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.


Charter Communications Debt-to-EBITDA Distribution

For the Telecommunication Services industry and Communication Services sector, Charter Communications's Debt-to-EBITDA distribution charts can be found below:

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



Charter Communications Debt-to-EBITDA Calculation

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

Charter Communications'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
=(2000 + 95777) / 20738
=4.71

Charter Communications'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
=(2000 + 95777) / 20568
=4.75

* 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.


Charter Communications  (NAS:CHTR) 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.


Charter Communications Debt-to-EBITDA Related Terms

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


Charter Communications (Charter Communications) Business Description

Address
400 Washington Boulevard, Stamford, CT, USA, 06902
Charter is the product of the 2016 merger of three cable companies, each with a decades-long history in the business: Legacy Charter, Time Warner Cable, and Bright House Networks. The firm now holds networks capable of providing television, internet access, and phone services to roughly 56 million U.S. homes and businesses, around 40% of the country. Across this footprint, Charter serves 30 million residential and 2 million commercial customer accounts under the Spectrum brand, making it the second-largest U.S. cable company behind Comcast. The firm also owns, in whole or in part, sports and news networks, including Spectrum SportsNet (long-term local rights to Los Angeles Lakers games), SportsNet LA (Los Angeles Dodgers), SportsNet New York (New York Mets), and Spectrum News NY1.
Executives
Thomas Rutledge director, officer: President and CEO 400 WASHINGTON BLVD., STAMFORD CT 06902
Jamal H Haughton officer: EVP/Gen Counsel/Corp Secretary TWO PENNSYLVANIA PLAZA, NEW YORK NY 10121
Gregory B Maffei director 12300 LIBERTY BLVD, ENGLEWOOD CO 80112
Craig A Jacobson director C/O EXPEDIA, INC., 333 108TH AVENUE NE, BELLEVUE WA 98004
Richard Adam Ray officer: EVP, Chief Commercial Officer 400 WASHINGTON BLVD, STAMFORD CT 06902
Steven A Miron director DISCOVERY COMMUNICATIONS, INC., 1 DISCOVERY PLACE, SILVER SPRING MD 20910
Eric Louis Zinterhofer director C/O SEARCHLIGHT CAPITAL PARTNERS GP, LP, 745 FIFTH AVENUE, 27TH FLOOR, NEW YORK NY 10151
Jonathan Hargis officer: EVP/Chief Marketing Officer 400 WASHINGTON BLVD., STAMFORD CT 06902
Jessica M Fischer officer: Chief Financial Officer 400 WASHINGTON BLVD., STAMFORD CT 06902
John Bickham officer: EVP/Chief Operating Officer 12405 POWERSCOURT DRIVE, ST. LOUIS MO 63131
Richard R Dykhouse officer: SVP/Gen Counsel/Corp Secretary 12405 POWERSCOURT DRIVE, ST. LOUIS MO 63131
David C Merritt director CHARTER COMMUNICATIONS INC, 12405 POWERSCOURT DRIVE, ST LOUIS MO 63131
David Ellen officer: Senior Executive VicePresident 1111 STEWART AVENUE, BETHPAGE NY 11714
Balan Nair director 901 EXPLORER BOULEVARD, HUNTSVILLE AL 35806
Christopher L Winfrey officer: EVP/Chief Financial Officer CHARTER COMMUNICATIONS, INC., 12405 POWERSCOURT DRIVE, ST. LOUIS MO 63131