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ALIT (Alight) Debt-to-EBITDA : 5.22 (As of Mar. 2025)


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What is Alight Debt-to-EBITDA?

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

Alight's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was $58 Mil. Alight's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was $2,091 Mil. Alight's annualized EBITDA for the quarter that ended in Mar. 2025 was $412 Mil. Alight's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2025 was 5.22.

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

ALIT' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 4.54   Med: 8.65   Max: 17.39
Current: 4.54

During the past 7 years, the highest Debt-to-EBITDA Ratio of Alight was 17.39. The lowest was 4.54. And the median was 8.65.

ALIT's Debt-to-EBITDA is ranked worse than
83.34% of 1681 companies
in the Software industry
Industry Median: 1.13 vs ALIT: 4.54

Alight Debt-to-EBITDA Historical Data

The historical data trend for Alight'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.

Alight Debt-to-EBITDA Chart

Alight Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Debt-to-EBITDA
Get a 7-Day Free Trial 10.12 N/A 8.65 17.39 6.16

Alight Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
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 -36.74 5.62 8.58 3.05 5.22

Competitive Comparison of Alight's Debt-to-EBITDA

For the Software - Application subindustry, Alight'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.


Alight's Debt-to-EBITDA Distribution in the Software Industry

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

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


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Alight Debt-to-EBITDA Calculation

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

Alight's Debt-to-EBITDA for the fiscal year that ended in Dec. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(61 + 2095) / 350
=6.16

Alight's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2025 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(58 + 2091) / 412
=5.22

* 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. 2025) EBITDA data.


Alight  (NYSE:ALIT) 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.


Alight Debt-to-EBITDA Related Terms

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


Alight Business Description

Traded in Other Exchanges
Address
320 South Canal Street, 50th Floor, Suite 5000, Chicago, IL, USA, 60606
Alight Inc is a technology-enabled services company delivering human capital management solutions to many of complex organizations. This includes the implementation and administration of employee benefits (e.g., health, wealth and leaves benefits) solutions, currently operates under one reportable segment, Employer Solutions. The Company completed the Divestiture of Alight's Professional Services segment and Alight's Payroll & HCM Outsourcing business within the Employer Solutions segment. The company operates in USA states and International market too.
Executives
Richard N Massey director, officer: Chief Executive Officer 900 S. SHACKLEFORD ROAD, SUITE 401, LITTLE ROCK AR 72211
Gregory R Goff officer: See Remarks C/O MORNINGSTAR, INC., 22 WEST WASHINGTON STREET, CHICAGO IL 60602
Gregory A. George officer: Chief Commercial Officer 4 OVERLOOK POINT, LINCOLNSHIRE IL 60069
Foley William P Ii director FIDELITY NATIONAL FINANCIAL, INC., 601 RIVERSIDE AVENUE, JACKSONVILLE FL 32204
Katie J. Rooney officer: Chief Financial Officer C/O ALIGHT INC., 4 OVERLOOK POINT, LINCOLNSHIRE IL 60069
Stephan Scholl director, officer: Chief Executive Officer 4 OVERLOOK POINT, LINCOLNSHIRE IL 60069
Dinesh V Tulsiani officer: Chief Strategy Officer C/O ALIGHT, INC., 1701 VILLAGE CENTER CIRCLE, LAS VEGAS NV 89134
Blackstone Holdings I/ii Gp L.l.c. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Bx Tempo Ml Holdco 1 L.p. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Blackstone Management Associates Vii Nq L.l.c. 10 percent owner C/O THE BLACKSTONE GROUP L.P., 345 PARK AVENUE, NEW YORK NY 10154
Kausik Rajgopal director 4 OVERLOOK POINT, LINCOLNSHIRE IL 60069
Lenore D Williams director 601 RIVERSIDE AVE, JACKSONVILLE FL 32204
Martin Felli officer: See Remarks 4 OVERLOOK POINT, LINCOLNSHIRE IL 60069
Bx Tempo Ml Holdco 2 Gp L.l.c. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154
Bx Tempo Ml Holdco 2 L.p. 10 percent owner C/O BLACKSTONE INC., 345 PARK AVENUE, NEW YORK NY 10154