AAR Corp (AIR)
Debt-to-equity ratio
| May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 985,400 | 274,700 | 275,000 | 304,800 | 269,700 | 185,600 | 197,200 | 114,100 | 98,900 | 103,300 | 103,200 | 127,600 | 133,700 | 206,000 | 220,300 | 255,100 | 600,000 | 206,000 | 196,100 | 202,200 |
| Total stockholders’ equity | US$ in thousands | 1,189,800 | 1,168,000 | 1,155,500 | 1,121,900 | 1,099,100 | -126,700 | 1,035,300 | 1,036,500 | 1,034,500 | 1,017,700 | 1,007,000 | 988,200 | 974,400 | 932,400 | 900,700 | 890,600 | 902,600 | 929,400 | 921,700 | 909,500 |
| Debt-to-equity ratio | 0.83 | 0.24 | 0.24 | 0.27 | 0.25 | — | 0.19 | 0.11 | 0.10 | 0.10 | 0.10 | 0.13 | 0.14 | 0.22 | 0.24 | 0.29 | 0.66 | 0.22 | 0.21 | 0.22 |
May 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $985,400K ÷ $1,189,800K
= 0.83
The debt-to-equity ratio of AAR Corp has shown fluctuations over the past several quarters. As of May 31, 2024, the ratio stands at 0.83, indicating that the company has a higher level of debt relative to equity at that point in time. This represents an increase from the ratio of 0.24 reported as of Feb 29, 2024, and Nov 30, 2023.
The trend in the debt-to-equity ratio displays variability, with ratios ranging from 0.10 to 0.83 over the past few quarters. This suggests that AAR Corp has experienced fluctuations in its capital structure and the relative proportion of debt and equity financing utilized in its operations.
It is worth noting that a higher debt-to-equity ratio may indicate higher financial leverage and potentially higher financial risk, while a lower ratio may suggest a more conservative financial structure. However, analyzing this ratio in isolation may not provide a comprehensive view of the company's overall financial health, as it is important to consider other financial metrics and factors in conjunction with the debt-to-equity ratio to make a more informed assessment of AAR Corp's financial position.
Peer comparison
May 31, 2024