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Nu-World Holdings (JSE:NWL) Debt-to-EBITDA : 0.56 (As of Feb. 2024)


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What is Nu-World Holdings Debt-to-EBITDA?

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

Nu-World Holdings's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2024 was R26 Mil. Nu-World Holdings's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2024 was R21 Mil. Nu-World Holdings's annualized EBITDA for the quarter that ended in Feb. 2024 was R85 Mil. Nu-World Holdings's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2024 was 0.56.

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

JSE:NWL' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.25   Med: 0.49   Max: 0.97
Current: 0.5

During the past 13 years, the highest Debt-to-EBITDA Ratio of Nu-World Holdings was 0.97. The lowest was 0.25. And the median was 0.49.

JSE:NWL's Debt-to-EBITDA is ranked better than
76.08% of 1735 companies
in the Hardware industry
Industry Median: 1.8 vs JSE:NWL: 0.50

Nu-World Holdings Debt-to-EBITDA Historical Data

The historical data trend for Nu-World 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.

Nu-World Holdings Debt-to-EBITDA Chart

Nu-World Holdings Annual Data
Trend Aug14 Aug15 Aug16 Aug17 Aug18 Aug19 Aug20 Aug21 Aug22 Aug23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.85 0.39 0.34 0.56 0.50

Nu-World Holdings Semi-Annual Data
Aug14 Feb15 Aug15 Feb16 Aug16 Feb17 Aug17 Feb18 Aug18 Feb19 Aug19 Feb20 Aug20 Feb21 Aug21 Feb22 Aug22 Feb23 Aug23 Feb24
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 0.51 1.65 0.73 0.56 0.56

Competitive Comparison of Nu-World Holdings's Debt-to-EBITDA

For the Consumer Electronics subindustry, Nu-World 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.


Nu-World Holdings's Debt-to-EBITDA Distribution in the Hardware Industry

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

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



Nu-World Holdings Debt-to-EBITDA Calculation

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

Nu-World Holdings's Debt-to-EBITDA for the fiscal year that ended in Aug. 2023 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(23.811 + 34.193) / 116.769
=0.50

Nu-World Holdings's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2024 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(25.942 + 21.236) / 84.874
=0.56

* 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 (Feb. 2024) EBITDA data.


Nu-World Holdings  (JSE:NWL) 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.


Nu-World Holdings Debt-to-EBITDA Related Terms

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


Nu-World Holdings (JSE:NWL) Business Description

Traded in Other Exchanges
N/A
Address
35 - 3rd Street, Wynberg, Sandton, Johannesburg, GT, ZAF, 2199
Nu-World Holdings Ltd, along with its subsidiaries is engaged in importing, manufacturing, assembling, marketing, and distributing branded consumer goods including consumer electronics, high-technology, small electrical appliances, white goods, liquor, and furniture. It also manufactures kitchenware and Telefunken. The company operates its business in geographic segments that include South Africa, Hong Kong, Australia, and the United Arab Emirates. The South African segment generates maximum revenue for the company.