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Hill & Smith (LSE:HILS) Debt-to-EBITDA : 1.03 (As of Dec. 2023)


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What is Hill & Smith Debt-to-EBITDA?

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

Hill & Smith's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was £9.4 Mil. Hill & Smith's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was £133.4 Mil. Hill & Smith's annualized EBITDA for the quarter that ended in Dec. 2023 was £139.0 Mil. Hill & Smith's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 1.03.

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 Hill & Smith's Debt-to-EBITDA or its related term are showing as below:

LSE:HILS' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 1   Med: 1.81   Max: 2.25
Current: 1

During the past 13 years, the highest Debt-to-EBITDA Ratio of Hill & Smith was 2.25. The lowest was 1.00. And the median was 1.81.

LSE:HILS's Debt-to-EBITDA is ranked better than
71.28% of 1309 companies
in the Construction industry
Industry Median: 2.28 vs LSE:HILS: 1.00

Hill & Smith Debt-to-EBITDA Historical Data

The historical data trend for Hill & Smith'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.

Hill & Smith Debt-to-EBITDA Chart

Hill & Smith 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 2.25 2.04 1.85 1.28 1.00

Hill & Smith 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 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 1.66 1.75 1.21 1.06 1.03

Competitive Comparison of Hill & Smith's Debt-to-EBITDA

For the Engineering & Construction subindustry, Hill & Smith'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.


Hill & Smith's Debt-to-EBITDA Distribution in the Construction Industry

For the Construction industry and Industrials sector, Hill & Smith's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Hill & Smith's Debt-to-EBITDA falls into.



Hill & Smith Debt-to-EBITDA Calculation

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

Hill & Smith'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
=(9.4 + 133.4) / 142.3
=1.00

Hill & Smith'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
=(9.4 + 133.4) / 139
=1.03

* 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 (Dec. 2023) EBITDA data.


Hill & Smith  (LSE:HILS) 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.


Hill & Smith Debt-to-EBITDA Related Terms

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


Hill & Smith (LSE:HILS) Business Description

Traded in Other Exchanges
Address
Westhaven House, Arleston Way, Shirley, Solihull, West Midlands, GBR, B90 4LH
Hill & Smith PLC creates sustainable infrastructure and safe transport through innovation. It is organized into three main business divisions. Galvanizing Services increase the sustainability and maintenance-free life of steel products including structural steelwork, lighting, bridges, agricultural and other products for the industrial and infrastructure markets. Engineered Solutions supplies engineered steel and composite solutions for a wide range of infrastructure markets including energy generation and distribution, marine, rail, and housing. Roads & Security division supplies products and services to support road and highway infrastructure including temporary and permanent road safety barriers, renewable energy lighting and power solutions, and Intelligent Traffic Solutions.

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