American Woodmark Corporation (AMWD)
Debt-to-equity ratio
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 910,376 | 873,788 | 772,883 | 756,238 | 632,473 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
April 30, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $910,376K
= 0.00
The debt-to-equity ratio of American Woodmark Corporation has consistently been reported as 0.00 for the past five years (from April 30, 2019, to April 30, 2024). This indicates that the company has not utilized any debt to finance its operations and has instead relied solely on equity financing. A debt-to-equity ratio of 0.00 implies a very conservative capital structure, with no financial leverage, signaling a low level of financial risk. While this may suggest financial stability and a decreased risk of default, it also implies potentially missed opportunities for leveraging debt to maximize returns for shareholders. Further analysis of the company's capital structure and business strategy would be necessary to fully understand the implications and reasons behind maintaining such a consistently low debt-to-equity ratio.