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Life On Earth Net debt/EBITDA

What is the Net debt/EBITDA of Life On Earth?

The Net debt/EBITDA of Life On Earth, Inc. is -3.85

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 Consumer Staples sector on OTC compared to Life On Earth

What does Life On Earth do?

Life On Earth, Inc. operates as a cloud enterprise software developer/provider. The company's products are designed to help organizations innovate and modernize legacy systems while minimizing cost and risk of business disruptions and ensure regulatory compliance. It focuses on technologies that include Internet-of-Things (IoT), security, enterprise legacy software modernization, personal data and privacy compliance, enterprise software maintenance, and governance, as well as lite blockchain technology. The company provides technology for smart buildings, manufacturing lines, and shipment tracking. It also develops solutions for various industries with supply chain management, warehouse and asset management, and industrial IoT solutions. The company was formerly known as Hispanica International Delights of America, Inc. and changed its name to Life On Earth, Inc. in February 2018. Life On Earth, Inc. was incorporated in 2013 and is headquartered in New York, New York.

Companies with net debt/ebitda similar to Life On Earth