Ponsse Oyj Net debt/EBITDA
What is the Net debt/EBITDA of Ponsse Oyj?
The Net debt/EBITDA of Ponsse Oyj is -0.54
What is the definition of Net debt/EBITDA?
The net debt to earnings before interest, taxes, depreciation, and amortization (Net debt/EBITDA) ratio measures financial leverage and the company’s ability to pay off its debt. It shows how long it would take the company to pay off all its debt with operations at the current level.
The net debt to EBITDA ratio is calculated as Net debt divided by EBITDA. It is similar to the debt to EBITDA ratio, but cash and cash equivalents are subtracted in net debt.
Net debt = short-term debt + long-term debt - cash and cash equivalents
EBITDA = net income + interest expense + taxes + depreciation + amortization
Lower debt debt to EBITDA ratio indicates the company is not heavily indebted and should be able to repay its obligations. Alternatively, higher ratio indicated the company is excessively indebted. The ratio varies between industries as different industries have different capital requirements. Usually, the ratio should be compared to a benchmark or an industry average to determine the company’s credit risk. Generally, a net debt to EBITDA ratio above 4 or 5 is considered high.
Net debt/EBITDA of companies in the Miscellaneous sector on LSE compared to Ponsse Oyj
What does Ponsse Oyj do?
Ponsse Oyj, together with its subsidiaries, develops, manufactures, and sells cut-to-length forest machines Northern Europe, Central and Southern Europe, Russia and Asia, North and South America, and internationally. Its products include harvesters, forwarders, harvester heads, and dual machines. The company also offers information system products, such as harvester and forwarder systems; forest machine; and wood procurement systems; and simulators. In addition, it provides spare parts; and used machines. Ponsse Oyj was founded in 1970 and is headquartered in Vieremä, Finland.
Companies with net debt/ebitda similar to Ponsse Oyj
- Münchener Rückversicherungs-Gesellschaft AG has Net debt/EBITDA of -0.55
- Goldcliff Resource has Net debt/EBITDA of -0.54
- Eyecarrot Innovations has Net debt/EBITDA of -0.54
- Texas Instruments has Net debt/EBITDA of -0.54
- Mandalay Resources has Net debt/EBITDA of -0.54
- Blackline Safety has Net debt/EBITDA of -0.54
- Ponsse Oyj has Net debt/EBITDA of -0.54
- ClearPoint Neuro Inc has Net debt/EBITDA of -0.54
- OpenLearning has Net debt/EBITDA of -0.54
- Unifirst has Net debt/EBITDA of -0.54
- Lam Research has Net debt/EBITDA of -0.54
- Triumph Gold has Net debt/EBITDA of -0.54
- Hank Payments has Net debt/EBITDA of -0.53