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AB Dynamics (LSE:ABDP) Debt-to-EBITDA : 0.14 (As of Feb. 2024)


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What is AB Dynamics Debt-to-EBITDA?

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

AB Dynamics's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2024 was £0.7 Mil. AB Dynamics's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Feb. 2024 was £2.1 Mil. AB Dynamics's annualized EBITDA for the quarter that ended in Feb. 2024 was £20.4 Mil. AB Dynamics's annualized Debt-to-EBITDA for the quarter that ended in Feb. 2024 was 0.14.

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 AB Dynamics's Debt-to-EBITDA or its related term are showing as below:

LSE:ABDP' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.06   Med: 0.08   Max: 0.12
Current: 0.11

During the past 13 years, the highest Debt-to-EBITDA Ratio of AB Dynamics was 0.12. The lowest was 0.06. And the median was 0.08.

LSE:ABDP's Debt-to-EBITDA is ranked better than
93.43% of 1051 companies
in the Vehicles & Parts industry
Industry Median: 2.4 vs LSE:ABDP: 0.11

AB Dynamics Debt-to-EBITDA Historical Data

The historical data trend for AB Dynamics'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.

AB Dynamics Debt-to-EBITDA Chart

AB Dynamics 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 - 0.12 0.09 0.06 0.06

AB Dynamics 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 0.08 0.06 0.47 0.05 0.14

Competitive Comparison of AB Dynamics's Debt-to-EBITDA

For the Auto Parts subindustry, AB Dynamics'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.


AB Dynamics's Debt-to-EBITDA Distribution in the Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, AB Dynamics's Debt-to-EBITDA distribution charts can be found below:

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



AB Dynamics Debt-to-EBITDA Calculation

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

AB Dynamics'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
=(0.57 + 0.906) / 23.303
=0.06

AB Dynamics'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
=(0.707 + 2.064) / 20.42
=0.14

* 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.


AB Dynamics  (LSE:ABDP) 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.


AB Dynamics Debt-to-EBITDA Related Terms

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


AB Dynamics (LSE:ABDP) Business Description

Traded in Other Exchanges
Address
Middleton Drive, Bradford on Avon, Wiltshire, GBR, BA15 1GB
AB Dynamics PLC supplies measurement and testing equipment to the automotive industry. The principal activity of the Group is the design, manufacture, and supply of testing, simulation and measurement products for the global transport market. The Group derives the majority of revenue from Laboratory testing and simulation and includes Track testing. Geographically, key revenue is generated from Asia Pacific that includes the United Kingdom, the Rest of European, North America, and the Rest of the World.

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