Aramark Holdings (ARMK)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,846,630 | 3,712,720 | 3,551,270 | 3,183,270 | 3,143,260 | 3,029,640 | 2,915,260 | 2,904,200 | 2,784,460 | 2,722,870 | 2,686,220 | 2,623,540 | 2,677,140 | 2,735,990 | 2,895,340 | 3,169,440 | 3,451,580 | 3,320,050 | 3,285,920 | 3,233,680 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $2,846,630K)
= 0.00
The debt-to-capital ratio of Aramark Holdings has consistently remained at 0.00 for all the reported periods. This indicates that the company has not used any debt in its capital structure, resulting in a completely equity-funded capital base. While a debt-to-capital ratio of 0.00 may suggest a conservative approach to financial leverage, it may also indicate missed opportunities for potential tax benefits and enhanced returns that debt can provide. It is essential to consider the reasons behind the consistent zero debt levels and evaluate the overall financial strategy of the company to fully assess the implications of its capital structure decisions.
Peer comparison
Dec 31, 2023