Ares Acquisition (Ares Acquisition) Debt-to-EBITDA : -0.51 (As of Jun. 2023)

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What is Ares Acquisition Debt-to-EBITDA?

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

Ares Acquisition's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2023 was $8.41 Mil. Ares Acquisition's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2023 was $0.00 Mil. Ares Acquisition's annualized EBITDA for the quarter that ended in Jun. 2023 was $-16.46 Mil. Ares Acquisition's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2023 was -0.51.

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 Ares Acquisition's Debt-to-EBITDA or its related term are showing as below:

AAC' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -0.58 Med: -0.2 Max: -0.2
Current: -0.58

During the past 3 years, the highest Debt-to-EBITDA Ratio of Ares Acquisition was -0.20. The lowest was -0.58. And the median was -0.20.

AAC's Debt-to-EBITDA is not ranked
in the Diversified Financial Services industry.
Industry Median: 4.22 vs AAC: -0.58

Ares Acquisition Debt-to-EBITDA Historical Data

The historical data trend for Ares Acquisition'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.

Ares Acquisition Debt-to-EBITDA Chart

Ares Acquisition Annual Data

Trend

Dec20

Dec21

Dec22

Debt-to-EBITDA

N/A

-0.20

Ares Acquisition Quarterly Data
	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23
Debt-to-EBITDA	Get a 7-Day Free Trial								-1.06	-0.72	-0.06	-0.28	-0.51

Competitive Comparison of Ares Acquisition's Debt-to-EBITDA

For the Shell Companies subindustry, Ares Acquisition'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.

Ares Acquisition's Debt-to-EBITDA Distribution in the Diversified Financial Services Industry

For the Diversified Financial Services industry and Financial Services sector, Ares Acquisition's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Ares Acquisition's Debt-to-EBITDA falls into.

Ares Acquisition Debt-to-EBITDA Calculation

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

Ares Acquisition'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
	=	(1.5	+	0)	/	-7.343
	=	-0.20

Ares Acquisition'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
	=	(8.414	+	0)	/	-16.456
	=	-0.51

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 (Jun. 2023) EBITDA data.

Ares Acquisition (NYSE:AAC) 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.

Ares Acquisition Debt-to-EBITDA Related Terms

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

Ares Acquisition (Ares Acquisition) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Diversified Financial Services » Ares Acquisition Corp (NYSE:AAC) » Definitions » Debt-to-EBITDA

Comparable Companies

Traded in Other Exchanges

N/A

Address

c/o Ares Management LLC, 44th Floor, 245 Park Avenue, New York, NY, USA, 10167

Website

https://www.aresacquisitioncorporation.com

Ares Acquisition Corp is a blank check company.

Executives

Kathryn V Marinello	director	CERIDIAN CORPORATION, 3311 EAST OLD SHAKOPEE ROAD, MINNEAPOLIS MN 55425
Michael J Arougheti	director	2000 AVENUE OF THE STARS, 12TH FLOOR, LOS ANGELES CA 90067
David B Kaplan	director, officer: Chief Executive Officer	1999 AVENUE OF THE STARS, SUITE 1900, LOS ANGELES CA 90067
Felicia D Thornton	director	250 PARKCENTER BLVD PO BOX 20, BOISE ID 83726
Jarrod Phillips	officer: Chief Financial Officer	C/O ARES MANAGEMENT LLC, 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 100167
Stephen Brown Davis	director	1355 SANSOME STREET, SAN FRANCISCO CA 94111
Ares Acquisition Holdings Lp	10 percent owner	C/O ARES MANAGEMENT LLC, 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Peter Ogilvie	officer: See Remarks	C/O ARES MANAGEMENT LLC, 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167
Allyson Satin	officer: Chief Operating Officer	C/O ARES MANAGEMENT LLC, 245 PARK AVENUE, 42ND FLOOR, NEW YORK NY 10167