Agilysys Inc (AGYS)
Debt-to-equity ratio
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 236,477 | 109,310 | 97,344 | 79,876 | 71,757 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
March 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $236,477K
= 0.00
Based on the historical data provided, Agilysys Inc has consistently maintained a debt-to-equity ratio of 0.00 for the past five years (from March 31, 2020, to March 31, 2024). This indicates that the company has zero debt relative to its equity over this period. A debt-to-equity ratio of 0.00 signifies that the company is entirely financed by equity, implying a lower financial risk due to the absence of debt obligations.
However, it is essential to note that a debt-to-equity ratio of 0.00 may not always be optimal for a company, as some level of debt can be beneficial for tax advantages, capital structure optimization, and growth opportunities. It suggests that Agilysys Inc has chosen to operate with minimal leverage and rely on equity financing. Overall, the consistent 0.00 debt-to-equity ratio over the years reflects a conservative financial approach in the company's capital structure.
Peer comparison
Mar 31, 2024