Apple Inc (AAPL)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 95,088,000 | 95,281,000 | 98,071,000 | 97,041,000 | 99,627,000 | 98,959,000 | 94,700,000 | 103,323,000 | 106,629,000 | 109,106,000 | 105,752,000 | 108,642,000 | 99,281,000 | 98,667,000 | 94,048,000 | 89,086,000 | 93,078,000 | 91,807,000 | 84,936,000 | 90,201,000 |
| Total stockholders’ equity | US$ in thousands | 74,100,000 | 62,146,000 | 60,274,000 | 62,158,000 | 56,727,000 | 50,672,000 | 58,107,000 | 67,399,000 | 71,932,000 | 63,090,000 | 64,280,000 | 69,178,000 | 66,224,000 | 65,339,000 | 72,282,000 | 78,425,000 | 89,531,000 | 90,488,000 | 96,456,000 | 105,860,000 |
| Debt-to-capital ratio | 0.56 | 0.61 | 0.62 | 0.61 | 0.64 | 0.66 | 0.62 | 0.61 | 0.60 | 0.63 | 0.62 | 0.61 | 0.60 | 0.60 | 0.57 | 0.53 | 0.51 | 0.50 | 0.47 | 0.46 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $95,088,000K ÷ ($95,088,000K + $74,100,000K)
= 0.56
The debt-to-capital ratio of Apple Inc has shown some fluctuations over the past five years. The ratio has generally been trending upwards since the end of 2019, peaking at 0.66 in September 2022 before slightly decreasing to 0.56 by the end of 2023. This indicates that Apple has been relying more on debt to finance its operations and investments relative to its total capital structure.
The trend in the debt-to-capital ratio suggests that Apple has been taking on more debt compared to its equity over time. It is important to monitor this ratio closely as a higher ratio can indicate increased financial risk due to higher leverage and interest payments.
Overall, while the debt-to-capital ratio of Apple Inc has fluctuated over the past few years, the recent decrease in the ratio may suggest a more balanced capital structure in terms of debt and equity financing. It is essential for investors and stakeholders to closely monitor this ratio in conjunction with other financial metrics to assess Apple's overall financial health and sustainability.
Peer comparison
Dec 31, 2023