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Controladora Vuela Compania de AviacionB de CV (Controladora Vuela Compania de AviacionB de CV) Debt-to-EBITDA : 5.11 (As of Dec. 2023)


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What is Controladora Vuela Compania de AviacionB de CV Debt-to-EBITDA?

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

Controladora Vuela Compania de AviacionB de CV's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $593 Mil. Controladora Vuela Compania de AviacionB de CV's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $2,966 Mil. Controladora Vuela Compania de AviacionB de CV's annualized EBITDA for the quarter that ended in Dec. 2023 was $696 Mil. Controladora Vuela Compania de AviacionB de CV's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 5.11.

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 Controladora Vuela Compania de AviacionB de CV's Debt-to-EBITDA or its related term are showing as below:

VLRS' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.36   Med: 5.26   Max: 17.28
Current: 15.84

During the past 13 years, the highest Debt-to-EBITDA Ratio of Controladora Vuela Compania de AviacionB de CV was 17.28. The lowest was 0.36. And the median was 5.26.

VLRS's Debt-to-EBITDA is ranked worse than
95.17% of 849 companies
in the Transportation industry
Industry Median: 2.83 vs VLRS: 15.84

Controladora Vuela Compania de AviacionB de CV Debt-to-EBITDA Historical Data

The historical data trend for Controladora Vuela Compania de AviacionB de CV'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.

Controladora Vuela Compania de AviacionB de CV Debt-to-EBITDA Chart

Controladora Vuela Compania de AviacionB de CV Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.00 17.28 4.52 6.25 15.68

Controladora Vuela Compania de AviacionB de CV 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 9.79 -20.08 12.09 32.61 5.11

Competitive Comparison of Controladora Vuela Compania de AviacionB de CV's Debt-to-EBITDA

For the Airlines subindustry, Controladora Vuela Compania de AviacionB de CV'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.


Controladora Vuela Compania de AviacionB de CV's Debt-to-EBITDA Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Controladora Vuela Compania de AviacionB de CV's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Controladora Vuela Compania de AviacionB de CV's Debt-to-EBITDA falls into.



Controladora Vuela Compania de AviacionB de CV Debt-to-EBITDA Calculation

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

Controladora Vuela Compania de AviacionB de CV'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
=(593 + 2966) / 227
=15.68

Controladora Vuela Compania de AviacionB de CV'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
=(593 + 2966) / 696
=5.11

* 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.


Controladora Vuela Compania de AviacionB de CV  (NYSE:VLRS) 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.


Controladora Vuela Compania de AviacionB de CV Debt-to-EBITDA Related Terms

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


Controladora Vuela Compania de AviacionB de CV (Controladora Vuela Compania de AviacionB de CV) Business Description

Traded in Other Exchanges
Address
Av. Antonio Dovali Jaime Number 70, 13th Floor, Tower B, Colonia Zedec Santa Fe, Mexico, DF, MEX, 01210
Controladora Vuela Compania de Aviacion SAB de CV is a low-cost airline flying to Mexico, the United States, Central and South America. It currently operates up to 500 average daily flight segments on routes that connect 44 cities in Mexico as well as 22 cities in the United States, four in Central America and two in South America. It uses promotional fares to stimulate demand and the base fares are priced to compete with long-distance bus fares in Mexico. Revenues from the air transportation of passengers are recognized earlier when the service is provided or when the non-refundable ticket expires at the date of the scheduled travel. Non-passenger revenues include revenues generated from other non-passenger revenues and cargo services.