ABM Industries Incorporated (ABM)
Debt-to-equity ratio
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,302,200 | 1,305,100 | 1,239,000 | 1,296,900 | 1,279,800 | 1,292,700 | 1,352,500 | 1,203,400 | 1,086,300 | 1,009,200 | 986,600 | 971,900 | 852,800 | 623,800 | 524,200 | 573,800 | 603,000 | 664,200 | 1,105,700 | 786,300 |
| Total stockholders’ equity | US$ in thousands | 1,781,900 | 1,835,000 | 1,835,000 | 1,843,600 | 1,799,900 | 1,860,100 | 1,860,100 | 1,782,800 | 1,717,200 | 1,680,300 | 1,669,600 | 1,655,200 | 1,609,200 | 1,580,300 | 1,599,800 | 1,569,100 | 1,500,300 | 1,451,300 | 1,395,200 | 1,559,700 |
| Debt-to-equity ratio | 0.73 | 0.71 | 0.68 | 0.70 | 0.71 | 0.69 | 0.73 | 0.68 | 0.63 | 0.60 | 0.59 | 0.59 | 0.53 | 0.39 | 0.33 | 0.37 | 0.40 | 0.46 | 0.79 | 0.50 |
October 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,302,200K ÷ $1,781,900K
= 0.73
The debt-to-equity ratio of ABM Industries Incorporated has shown fluctuating trends over the past few years, ranging between 0.33 and 0.79. The ratio indicates the proportion of debt relative to equity in the company's capital structure. A higher debt-to-equity ratio typically indicates higher financial leverage and risk.
From January 2020 to October 2021, the ratio increased significantly from 0.37 to 0.79, suggesting a substantial rise in debt relative to equity during this period. However, from October 2021 to October 2024, the ratio displayed a downward trend, reaching 0.73. This downward trend indicates a decrease in the level of debt relative to equity, which could imply a more conservative financial strategy and reduced financial risk for the company.
Overall, the debt-to-equity ratio of ABM Industries Incorporated has fluctuated over the observed period, but the recent downward trend suggests a possible shift towards a more balanced capital structure with less reliance on debt financing. Further analysis of the company's financial health and future prospects would be necessary to determine the implications of these changes in the debt-to-equity ratio for investors and stakeholders.
Peer comparison
Oct 31, 2024