Air Products and Chemicals Inc (APD)

Debt-to-capital ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Long-term debt	US$ in thousands	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	17,036,500	14,312,900	13,144,000	13,539,700	12,079,800
Debt-to-capital ratio		0.00	0.00	0.00	0.00	0.00

September 30, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $17,036,500K)
= 0.00

The debt-to-capital ratio for Air Products and Chemicals Inc has consistently been 0.00 for the past five years, from September 2020 to September 2024. This indicates that the company has not utilized debt in its capital structure during this period. A debt-to-capital ratio of 0.00 suggests that the company has funded its operations and investments predominantly through equity financing. This may imply a conservative financial approach, as the absence of debt can lower financial risk and reduce interest expenses. However, it is important to note that while a low or zero debt-to-capital ratio can be viewed positively, it can also limit financial flexibility and potential returns on equity. Further analysis of the company's overall financial health and growth strategy would be beneficial in understanding the implications of this consistent ratio.