Le Net debt/EBITDA de Varian Medical Systems, Inc. est N/A
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.
Varian Medical Systems, Inc. designs, manufactures, sells, and services medical devices and software products for treating cancer and other medical conditions worldwide. It operates in Oncology Systems and Proton Solutions segments. The Oncology Systems segment offers hardware and software products for treating cancer with radiotherapy, fixed field intensity-modulated radiation therapy, image-guided radiation therapy, volumetric modulated arc therapy, stereotactic radiosurgery, stereotactic body radiotherapy, and brachytherapy, as well as quality assurance equipment. Its products include linear accelerators, brachytherapy after loaders, treatment accessories, and quality assurance software; and information management, treatment planning, image processing, clinical knowledge exchange, patient care management, decision-making support, and practice management software. This segment serves university research and community hospitals, private and governmental institutions, healthcare agencies, physicians' offices, medical oncology practices, radiotherapy centers, and cancer care clinics. The Proton Solutions segment designs, develops, manufactures, sells, and services products and systems for delivering proton therapy for the treatment of cancer. The company has a strategic agreement with Siemens AG; partnership agreement with The National University Cancer Institute; and a strategic collaboration with Telix Pharmaceuticals for advanced prostate imaging. Varian Medical Systems was formerly known as Varian Associates, Inc. and changed its name to Varian Medical Systems, Inc. in April 1999. The company was founded in 1948 and is headquartered in Palo Alto, California.