Theratechnologies Net debt/EBITDA
What is the Net debt/EBITDA of Theratechnologies?
The Net debt/EBITDA of Theratechnologies, Inc. is -4.31
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 Health Care sector on TSX compared to Theratechnologies
What does Theratechnologies do?
Theratechnologies Inc., a biopharmaceutical company, focuses on the development and commercialization of various therapies to address the unmet medical needs in the United States, Canada, and Europe. The company offers EGRIFTA and EGRIFTA SV, for the reduction of excess abdominal fat in human immunodeficiency virus (HIV)-infected patients with lipodystrophy; and Trogarzo, an injection refers to ibalizumab for the treatment of multidrug resistant HIV-1 infected patients. Its pipeline products include F8 Formulation for the treatment of lipodystrophy in people living with HIV; TH-1902 for the treatment of triple negative breast cancer; and TH-1904 for the treatment of ovarian cancer. The company was incorporated in 1993 and is headquartered in Montreal, Canada.
Companies with net debt/ebitda similar to Theratechnologies
- Castor Maritime has Net debt/EBITDA of -4.32
- BigCommerce has Net debt/EBITDA of -4.32
- EVS Broadcast Equipment S.A has Net debt/EBITDA of -4.32
- Global Indemnity has Net debt/EBITDA of -4.31
- Align Technology has Net debt/EBITDA of -4.31
- TG Therapeutics Inc has Net debt/EBITDA of -4.31
- Theratechnologies has Net debt/EBITDA of -4.31
- Natus Medical Inc has Net debt/EBITDA of -4.31
- Telefonaktiebolaget LM Ericsson (publ) has Net debt/EBITDA of -4.30
- Morris has Net debt/EBITDA of -4.30
- Ortho Regenerative Technologies has Net debt/EBITDA of -4.30
- Marine Products Corp has Net debt/EBITDA of -4.30
- Ramsdens PLC has Net debt/EBITDA of -4.30