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FAT Brands (FAT Brands) Debt-to-EBITDA : 42.17 (As of Dec. 2023)


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What is FAT Brands Debt-to-EBITDA?

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

FAT Brands's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $59.9 Mil. FAT Brands's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $1,322.1 Mil. FAT Brands's annualized EBITDA for the quarter that ended in Dec. 2023 was $32.8 Mil. FAT Brands's annualized Debt-to-EBITDA for the quarter that ended in Dec. 2023 was 42.17.

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 FAT Brands's Debt-to-EBITDA or its related term are showing as below:

FAT' s Debt-to-EBITDA Range Over the Past 10 Years
Min: -11.09   Med: 15.73   Max: 419.81
Current: 26.42

During the past 9 years, the highest Debt-to-EBITDA Ratio of FAT Brands was 419.81. The lowest was -11.09. And the median was 15.73.

FAT's Debt-to-EBITDA is ranked worse than
96.72% of 274 companies
in the Restaurants industry
Industry Median: 2.975 vs FAT: 26.42

FAT Brands Debt-to-EBITDA Historical Data

The historical data trend for FAT Brands'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.

FAT Brands Debt-to-EBITDA Chart

FAT Brands Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only 3.43 -11.09 419.81 77.23 26.42

FAT Brands 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 -11.55 37.84 11.36 28.88 42.17

Competitive Comparison of FAT Brands's Debt-to-EBITDA

For the Restaurants subindustry, FAT Brands'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.


FAT Brands's Debt-to-EBITDA Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, FAT Brands's Debt-to-EBITDA distribution charts can be found below:

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



FAT Brands Debt-to-EBITDA Calculation

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

FAT Brands'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
=(59.865 + 1322.052) / 52.297
=26.42

FAT Brands'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
=(59.865 + 1322.052) / 32.772
=42.17

* 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.


FAT Brands  (NAS:FAT) 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.


FAT Brands Debt-to-EBITDA Related Terms

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


FAT Brands (FAT Brands) Business Description

Traded in Other Exchanges
Address
9720 Wilshire Boulevard, Suite 500, Beverly Hills, CA, USA, 90212
FAT Brands Inc is a multi-brand restaurant franchising company. It develops, markets, acquires and manages quick service, fast casual, casual dining and polished casual dining restaurant concepts around the world. The company operates as a franchisor of restaurants, where the company generally does not own or operate the restaurant locations but rather generates revenue by charging franchisees an initial franchise fee as well as ongoing royalties. For some of the company's brands, it also directly owns and operates restaurant locations. The primary sources of revenue are the sale of food and beverages at company restaurants and the collection of royalties, franchise fees and advertising revenue from sales of food and beverages at franchised restaurants.
Executives
Andrew Wiederhorn director, officer: Chief Executive Officer C/O WILSHIRE FINANCIAL SERVICES INC, 1776 SW MADISON STREET, PORTLAND OR 97205
John Stephen Allen director P.O. BOX 2732, GEARHART OR 97138
James G Ellis director C/O QUIKSILVER, INC., 15202 GRAHAM STREET, HUNTINGTON BEACH CA 92649
Fog Cutter Holdings, Llc 10 percent owner 9720 WILSHIRE BLVD, SUITE 500, BEVERLY HILLS CA 90212
Matthew Green director
Peter R Feinstein director
John Cameron Metz director 13153 FABERGE PLACE, PALM BEACH GARDENS FL 33418
Kenneth Kepp director 27929 SW 95TH AVENUE, SUITE 1101, WILSONVILLE OR 97070
Mark Elenowitz director 400 PROFESSIONAL DRIVE, SUITE 310, GAITHERSBURG MD 20879
Tyler Berchtold Child director P.O. BOX 254, ROSS CA 94957
Vidal Paba Maria Carmen director CARRER CAVALLERS NUMBER 56-58, 4TH FLOOR 1ST DOOR, BARCELONA U3 08034
Mason Alan Wiederhorn director 9720 WILSHIRE BLVD., PH, BEVERLY HILLS CA 90212
Lynne Leigh Collier director 8523 FOREST HILLS BLVD, DALLAS TX 75218
John Squire Junger director 16600 PARK LANE CIRCLE, LOS ANGELES CA 90049
Taylor Andrew Wiederhorn officer: Chief Development Officer 9720 WILSHIRE BLVD,, SUITE 500, BEVERLY HILLS CA 90212