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AAC Technologies Holdings (AAC Technologies Holdings) Debt-to-EBITDA

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

AAC Technologies Holdings's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2023 was $225 Mil. AAC Technologies Holdings's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2023 was $1,153 Mil. AAC Technologies Holdings's annualized EBITDA for the quarter that ended in Jun. 2023 was $106 Mil. AAC Technologies Holdings's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2023 was 13.03.

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 AAC Technologies Holdings's Debt-to-EBITDA or its related term are showing as below:

AACAF' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.28   Med: 0.89   Max: 7.89
Current: 7.89

During the past 13 years, the highest Debt-to-EBITDA Ratio of AAC Technologies Holdings was 7.89. The lowest was 0.28. And the median was 0.89.

AACAF's Debt-to-EBITDA is ranked worse than
88.27% of 1730 companies
in the Hardware industry
Industry Median: 1.75 vs AACAF: 7.89

AAC Technologies Holdings Debt-to-EBITDA Historical Data

The historical data trend for AAC Technologies Holdings'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.

AAC Technologies Holdings 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 1.77 2.06 2.32 2.45 7.89

AAC Technologies Holdings Semi-Annual Data
Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 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 8.26 8.10 8.20 13.03 5.74

Competitive Comparison

For the Communication Equipment subindustry, AAC Technologies Holdings'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.


AAC Technologies Holdings Debt-to-EBITDA Distribution

For the Hardware industry and Technology sector, AAC Technologies Holdings's Debt-to-EBITDA distribution charts can be found below:

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



AAC Technologies Holdings Debt-to-EBITDA Calculation

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

AAC Technologies Holdings's Debt-to-EBITDA for the fiscal year that ended in Dec. 2022 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(304.759 + 1190.547) / 609.717
=2.45

AAC Technologies Holdings's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(225.428 + 1153.344) / 105.788
=13.03

* 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 two times the quarterly (Jun. 2023) EBITDA data.


AAC Technologies Holdings  (OTCPK:AACAF) 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.


AAC Technologies Holdings Debt-to-EBITDA Related Terms

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


AAC Technologies Holdings (AAC Technologies Holdings) Business Description

Address
38 Gloucester Road, Unit 1605-7, China Evergrande Centre, Wanchai, Hong Kong, HKG
AAC Technologies is one of the world's largest manufacturers of miniature acoustic components, such as speakers and receivers, primarily for smartphones, which account for under half of its revenue. Founded in 1993, the company has since then expanded into the production of other handset components, such as electromagnetic drives (haptics), precision mechanical (metal casing), lenses and camera modules, and MEMS microphones. AAC is headquartered in Shenzhen, China, and runs factories in China, Vietnam, Czechia, and Malaysia. It employed 27,798 people in December 2022.