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Maximus (Maximus) Debt-to-EBITDA : 2.67 (As of Dec. 2023)


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What is Maximus Debt-to-EBITDA?

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

Maximus's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $139 Mil. Maximus's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $1,341 Mil. Maximus's annualized EBITDA for the quarter that ended in Dec. 2023 was $555 Mil. Maximus's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 2.67.

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

MMS' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0   Med: 0.61   Max: 3.49
Current: 3.14

During the past 13 years, the highest Debt-to-EBITDA Ratio of Maximus was 3.49. The lowest was 0.00. And the median was 0.61.

MMS's Debt-to-EBITDA is ranked worse than
65.74% of 829 companies
in the Business Services industry
Industry Median: 1.84 vs MMS: 3.14

Maximus Debt-to-EBITDA Historical Data

The historical data trend for Maximus'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.

Maximus Debt-to-EBITDA Chart

Maximus Annual Data
Trend Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.02 0.55 3.49 3.30 3.22

Maximus 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 3.93 3.63 4.05 2.55 2.67

Competitive Comparison of Maximus's Debt-to-EBITDA

For the Specialty Business Services subindustry, Maximus'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.


Maximus's Debt-to-EBITDA Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Maximus's Debt-to-EBITDA distribution charts can be found below:

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



Maximus Debt-to-EBITDA Calculation

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

Maximus's Debt-to-EBITDA for the fiscal year that ended in Sep. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(136.696 + 1292.516) / 443.747
=3.22

Maximus'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
=(138.933 + 1340.837) / 555.128
=2.67

* 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.


Maximus  (NYSE:MMS) 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.


Maximus Debt-to-EBITDA Related Terms

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


Maximus (Maximus) Business Description

Traded in Other Exchanges
Address
1600 Tysons Boulevard, McLean, VA, USA, 22102
Maximus Inc is an operator of government health and human services programs in the United States, United Kingdom, Canada, Australia, and Saudi Arabia. The company offers business solutions to improve the cost-effectiveness, efficiency, and quality of government-sponsored benefit programs, such as Medicaid, Medicare, Health Insurance BC, and child support programmes. Most of its revenue is derived from long-term contractual arrangements with governments around the world. The company generates maximum revenue from the U.S. Federal Services segment.
Executives
Teresa Weipert officer: General Mgr US Federal Segment 1891 METRO CENTER DRIVE, RESTON VA 20190
Ilene R. Baylinson officer: Group General Manager 1891 METRO CENTER DRIVE, RESTON VA 20190
Michelle F. Link officer: Chief Human Resources Officer 1891 METRO CENTER DRIVE, RESTON VA 20190
Gayathri Rajan director 1891 METRO CENTER DRIVE, RESTON X1 20190
David Mutryn officer: Chief Financial Officer 1891 METRO CENTER DRIVE, RESTON VA 20190
Theresa D Golinvaux officer: Principal Accounting Officer 9300 LEE HIGHWAY, FAIRFAX VA 20131
John Thomas Martinez officer: Secretary and General Counsel 1600 TYSONS BLVD, #1400, MCLEAN VA 22102
Michael J. Warren director C/O WALKER & DUNLOP, INC., 7272 WISCONSIN AVENUE, SUITE 1300, BETHESDA MD 20814
Bruce Caswell other: Group President - Human Svcs 11419 SUNSET HILLS ROAD, RESTON VA 20190-5207
Raymond B Ruddy director C/O MAXIMUS INC, 11419 SUNSET HILLS ROAD, RESTON VA 20190
David Francis officer: General Counsel C/O MAXIMUS INC, 11419 SUNSET HILLS RD, RESTON VA 20190
John J Haley director 901 N GLEBE ROAD, ARLINGTON VA 22203
Richard A Montoni director, officer: CEO and Director C/O MAXIMUS INC, 11419 SUNSET HILLS RD, RESTON VA 20190
Richard John Nadeau officer: Chief Financial Officer 1300 WILSON BLVD., SUITE 400, ARLINGTON VA 22209
Peter Pond director