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Pinnacle Foods (Pinnacle Foods) Debt-to-EBITDA : 5.30 (As of Jun. 2018)


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What is Pinnacle Foods Debt-to-EBITDA?

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

Pinnacle Foods's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2018 was $56 Mil. Pinnacle Foods's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2018 was $2,704 Mil. Pinnacle Foods's annualized EBITDA for the quarter that ended in Jun. 2018 was $520 Mil. Pinnacle Foods's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2018 was 5.30.

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

PF's Debt-to-EBITDA is not ranked *
in the Consumer Packaged Goods industry.
Industry Median: 2.13
* Ranked among companies with meaningful Debt-to-EBITDA only.

Pinnacle Foods Debt-to-EBITDA Historical Data

The historical data trend for Pinnacle Foods'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.

Pinnacle Foods Debt-to-EBITDA Chart

Pinnacle Foods Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Debt-to-EBITDA
Get a 7-Day Free Trial 6.74 3.88 4.51 5.59 5.60

Pinnacle Foods Quarterly Data
Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18
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 7.68 6.16 4.30 4.83 5.30

Competitive Comparison of Pinnacle Foods's Debt-to-EBITDA

For the Packaged Foods subindustry, Pinnacle Foods'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.


Pinnacle Foods's Debt-to-EBITDA Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Pinnacle Foods's Debt-to-EBITDA distribution charts can be found below:

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



Pinnacle Foods Debt-to-EBITDA Calculation

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

Pinnacle Foods's Debt-to-EBITDA for the fiscal year that ended in Dec. 2017 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(36.673 + 2925.594) / 529.056
=5.60

Pinnacle Foods's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2018 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(55.968 + 2703.917) / 520.336
=5.30

* 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 (Jun. 2018) EBITDA data.


Pinnacle Foods  (NYSE:PF) 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.


Pinnacle Foods Debt-to-EBITDA Related Terms

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


Pinnacle Foods (Pinnacle Foods) Business Description

Traded in Other Exchanges
N/A
Address
Pinnacle makes, sells, and distributes packaged food products. The firm owns several long-standing brands, including Birds Eye, Duncan Hines, Vlasic, Mrs. Butterworth's, Van de Kamp, and Wish-Bone. Its 2016 acquisition of Boulder Brands added Smart Balance, Earth Balance, and gluten-free products under the Udi's and Glutino labels. Its frozen segment accounted for 41% of 2017 sales, with grocery contributing 35%, Boulder delivering about 13%, and specialty foods around 10%. Almost all of the company's sales are generated in North America.