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The Western Union Co (The Western Union Co) Debt-to-EBITDA : 2.62 (As of Mar. 2024)


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What is The Western Union Co Debt-to-EBITDA?

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

The Western Union Co's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was $400 Mil. The Western Union Co's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2024 was $2,140 Mil. The Western Union Co's annualized EBITDA for the quarter that ended in Mar. 2024 was $971 Mil. The Western Union Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 was 2.62.

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 The Western Union Co's Debt-to-EBITDA or its related term are showing as below:

WU' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 2.01   Med: 2.57   Max: 4.03
Current: 2.58

During the past 13 years, the highest Debt-to-EBITDA Ratio of The Western Union Co was 4.03. The lowest was 2.01. And the median was 2.57.

WU's Debt-to-EBITDA is ranked better than
74.33% of 261 companies
in the Credit Services industry
Industry Median: 7.85 vs WU: 2.58

The Western Union Co Debt-to-EBITDA Historical Data

The historical data trend for The Western Union Co'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.

The Western Union Co Debt-to-EBITDA Chart

The Western Union Co 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 2.01 2.75 2.57 2.02 2.58

The Western Union Co Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
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 2.44 2.43 2.08 3.09 2.62

Competitive Comparison of The Western Union Co's Debt-to-EBITDA

For the Credit Services subindustry, The Western Union Co'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.


The Western Union Co's Debt-to-EBITDA Distribution in the Credit Services Industry

For the Credit Services industry and Financial Services sector, The Western Union Co's Debt-to-EBITDA distribution charts can be found below:

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



The Western Union Co Debt-to-EBITDA Calculation

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

The Western Union Co'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
=(364.9 + 2302) / 1034.7
=2.58

The Western Union Co's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(399.9 + 2140.4) / 970.8
=2.62

* 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. 2024) EBITDA data.


The Western Union Co  (NYSE:WU) 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.


The Western Union Co Debt-to-EBITDA Related Terms

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


The Western Union Co (The Western Union Co) Business Description

Traded in Other Exchanges
Address
7001 East Belleview Avenue, Denver, CO, USA, 80237
Western Union provides domestic and international money transfers through its global network of about 600,000 outside agents. The company handled over 270 million transactions in 2022 and is the largest money transfer company in the world.
Executives
Estebarena Rodrigo Garcia officer: President of North America 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Suzette Deering director 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Jeffrey A Joerres director 5301 NORTH IRONWOOD ROAD, MILWAUKEE WI 53217
Giovanni Angelini officer: Head of Europe and Africa 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Matthew Cagwin officer: Interim Chief Financ. Officer C/O FIRST DATA CORPORATION, FIRST DATA, 225 LIBERTY STREET, NEW YORK NY 10281
Cherie Axelrod officer: Chief Enterprise Risk Officer 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Benjamin Carlton Adams officer: Chief Legal Officer & Corp Sec 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
David Cebollero officer: Interim Chief Legal Officer 7001 E. BELLEVIEW AVENUE, DENVER CO 80237
Andrew D Walker officer: Chief Operations Officer 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Jean Claude Farah officer: EVP, President-Global Payments 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Devin Mcgranahan director, officer: CEO & President 255 FISERV DRIVE, BROOKFIELD WI 53045
Gabriella Fitzgerald officer: President Americas Region 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Andrew Summerill officer: President, Payments (Interim) 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Caroline Tsai officer: EVP, Secretary & Gen. Counsel 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237
Jacqueline D Molnar officer: Glbl Hd-Transformation & Compl 7001 EAST BELLEVIEW AVENUE, DENVER CO 80237