Franchise Group (Franchise Group) Debt-to-EBITDA : 17.22 (As of Jun. 2023)

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What is Franchise Group Debt-to-EBITDA?

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

Franchise Group's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2023 was $534 Mil. Franchise Group's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Jun. 2023 was $2,301 Mil. Franchise Group's annualized EBITDA for the quarter that ended in Jun. 2023 was $165 Mil. Franchise Group's annualized Debt-to-EBITDA for the quarter that ended in Jun. 2023 was 17.22.

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 Franchise Group's Debt-to-EBITDA or its related term are showing as below:

FRG' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.55 Med: 0.96 Max: 31.99
Current: 31.99

During the past 13 years, the highest Debt-to-EBITDA Ratio of Franchise Group was 31.99. The lowest was 0.55. And the median was 0.96.

FRG's Debt-to-EBITDA is not ranked
in the Retail - Cyclical industry.
Industry Median: 2.675 vs FRG: 31.99

Franchise Group Debt-to-EBITDA Historical Data

The historical data trend for Franchise Group'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.

Franchise Group Debt-to-EBITDA Chart

Franchise Group Annual Data

Trend

Apr13

Apr14

Apr15

Apr16

Apr17

Apr18

Apr19

Dec20

Dec21

Dec22

Debt-to-EBITDA

Get a 7-Day Free Trial

0.92

1.07

10.03

7.14

7.84

Franchise Group Quarterly Data
	Jul18	Oct18	Jan19	Apr19	Jul19	Oct19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23
Debt-to-EBITDA	Get a 7-Day Free Trial															3.80	-82.94	11.05	-107.78	17.22

Competitive Comparison of Franchise Group's Debt-to-EBITDA

For the Specialty Retail subindustry, Franchise Group'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.

Franchise Group's Debt-to-EBITDA Distribution in the Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Franchise Group's Debt-to-EBITDA distribution charts can be found below:

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

Franchise Group Debt-to-EBITDA Calculation

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

Franchise Group'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
	=	(526.475	+	2202.401)	/	347.927
	=	7.84

Franchise Group'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
	=	(533.586	+	2300.898)	/	164.616
	=	17.22

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.

Franchise Group (NAS:FRG) 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.

Franchise Group Debt-to-EBITDA Related Terms

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

Franchise Group (Franchise Group) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Consumer Cyclical » Retail - Cyclical » Franchise Group Inc (NAS:FRG) » Definitions » Debt-to-EBITDA

Comparable Companies

Traded in Other Exchanges

N/A

Address

109 Innovation Court, Suite J, Delaware, OH, USA, 43015

Website

https://www.franchisegrp.com

Franchise Group Inc is a personal services company that provides retail federal and state income tax preparation services and related tax settlement products. The vast majority of these offices operate in the United States under the Liberty Tax Service and SiempreTax+ brand names. Liberty Tax also provides online do-it-yourself tax programs within the U.S. The sale of financial products and tax preparation service fees also contribute to sizable percentages of the company's total income. Liberty Tax also operates a smaller portfolio of wholly-owned company offices. The company's reportable segments are Vitamin Shoppe, Pet Supplies Plus, Badcock, American Freight, Buddy's and Sylvan.

Executives

Daniel Meitner Ondeck	10 percent owner	13301 BEALL CREEK CT., POTOMAC MD 20854
Richard W Riley	10 percent owner	B RILEY AND CO, 11100 SANTA MONICA BLVD STE 800, LOS ANGELES CA 90025
Bryant R Riley	director, 10 percent owner	C/O B. RILEY FINANCIAL, INC., 21255 BURBANK BLVD, SUITE 400, WOODLAND HILLS CA 91367
Kelleher Thomas J /adv	10 percent owner	C/O B. RILEY FINANCIAL, INC., 21255 BURBANK BLVD, SUITE 400, WOODLAND HILLS CA 91367
Randall E Paulson	10 percent owner
Nanhi Singh	director	109 INNOVATION COURT, SUITE J, DELAWARE OH 43015
Gary S Rich	director	C/O THE READER'S DIGEST ASSOCIATION, READER'S DIGEST ROAD, PLEASANTVILLE NY 10570
Brian Randall Kahn	director, 10 percent owner, officer: Chief Executive Officer	5506 WORSHAM COURT, WINDERMERE FL 34786
Patrick A Cozza	director	C/O HSBC INSURANCE, 545 WASHINGTON BLVD, JERSEY CITY NJ 07310
Lee A. Wright	officer: Chief Commercial Officer	C/O DIAMOND CASTLE HOLDINGS, LLC, 280 PARK AVENUE, 25TH FLOOR, EAST TOWER, NEW YORK NY 10017
Andrew M Laurence	director	C/O API TECHNOLOGIES CORP., ONE NORTH WACKER DRIVE SUITE 4400, CHICAGO IL 60606
Cynthia S Dubin	director	1200 E. MARKET STREET, SUITE 650, AKRON OH 44305
Lisa M Fairfax	director	2387 LIBERTY WAY, VIRGINIA BEACH VA 23456
Vintage Capital Management Llc	director, 10 percent owner, officer: Chief Executive Officer	4705 S APOPKA VINELAND ROAD SUITE 210, ORLANDO FL 32819
B. Riley Financial, Inc.	10 percent owner	11100 SANTA MONICA BLVD, SUITE 800, LOS ANGELES CA 90025