Abercrombie & Fitch Company (ANF)

Debt-to-capital ratio

		Feb 3, 2024	Oct 28, 2023	Jul 29, 2023	Apr 29, 2023	Jan 28, 2023	Oct 29, 2022	Jul 30, 2022	Apr 30, 2022	Jan 29, 2022	Oct 30, 2021	Jul 31, 2021	May 1, 2021	Jan 30, 2021	Oct 31, 2020	Aug 1, 2020	May 2, 2020	Feb 1, 2020	Nov 2, 2019	Aug 3, 2019	May 4, 2019
Long-term debt	US$ in thousands	222,119	248,033	297,385	297,172	296,852	296,532	304,219	303,901	303,574	303,247	303,015	344,278	343,910	343,559	343,250	232,178	231,963	241,343	251,033	250,736
Total stockholders’ equity	US$ in thousands	1,035,160	866,108	768,306	701,857	694,841	646,231	661,788	695,361	826,090	908,934	956,566	941,174	936,628	849,379	805,681	790,239	1,058,810	983,512	991,977	1,094,840
Debt-to-capital ratio		0.18	0.22	0.28	0.30	0.30	0.31	0.31	0.30	0.27	0.25	0.24	0.27	0.27	0.29	0.30	0.23	0.18	0.20	0.20	0.19

February 3, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $222,119K ÷ ($222,119K + $1,035,160K)
= 0.18

The debt-to-capital ratio of Abercrombie & Fitch Company has exhibited some fluctuations over the past few quarters. As of Feb 3, 2024, the ratio stands at 0.18, indicating that debt accounts for 18% of the company's capital structure.

The ratio has ranged between 0.18 and 0.31 over the last few periods, with the highest point observed in Jul 29, 2023, at 0.31. This suggests that the company had a higher reliance on debt to finance its operations and investments during that period.

A decreasing trend can be observed from Jul 29, 2023, to Feb 3, 2024, where the ratio declined from 0.31 to 0.18. This could imply that Abercrombie & Fitch Company is reducing its debt levels relative to its capital base, which may indicate a more conservative financial strategy or improved financial health.

Overall, the debt-to-capital ratio provides insight into the company's leverage and solvency levels, with a lower ratio indicating a lesser reliance on debt financing. It is essential for investors and stakeholders to monitor this ratio over time to assess the company's financial risk and stability.