Diamond Offshore Drilling Net debt/EBITDA
What is the Net debt/EBITDA of Diamond Offshore Drilling?
The Net debt/EBITDA of Diamond Offshore Drilling, Inc. is 452.66
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 Energy sector on OTC compared to Diamond Offshore Drilling
What does Diamond Offshore Drilling do?
Diamond Offshore Drilling, Inc. provides contract drilling services to the energy industry worldwide. The company operates a fleet of 13 offshore drilling rigs, including four drillships and nine semisubmersible rigs. It serves independent oil and gas companies, and government-owned oil companies. The company was founded in 1953 and is headquartered in Houston, Texas. Diamond Offshore Drilling, Inc. is a subsidiary of Loews Corporation. On April 26, 2020, Diamond Offshore Drilling, Inc., along with its affiliates, filed a voluntary petition for reorganization under Chapter 11 in the United States Bankruptcy Court for the Southern District of Texas.
Companies with net debt/ebitda similar to Diamond Offshore Drilling
- Diamond Offshore Drilling has Net debt/EBITDA of 420.45
- Hiscox has Net debt/EBITDA of 430.84
- Winshine Science has Net debt/EBITDA of 437.09
- PLDT Inc has Net debt/EBITDA of 445.29
- China Shandong Hi-Speed has Net debt/EBITDA of 445.74
- Hailan has Net debt/EBITDA of 445.96
- Diamond Offshore Drilling has Net debt/EBITDA of 452.66
- Terrafina has Net debt/EBITDA of 452.72
- Iteris has Net debt/EBITDA of 454.53
- Fleury Michon SA has Net debt/EBITDA of 454.93
- Pampa Energia SA has Net debt/EBITDA of 471.99
- Li Auto has Net debt/EBITDA of 477.42
- YPF has Net debt/EBITDA of 482.77