Aramark Holdings (ARMK)
Debt-to-equity ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 3,712,720 | 3,029,640 | 2,722,870 | 2,735,990 | 3,320,050 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
September 30, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $3,712,720K
= 0.00
Based on the data provided, Aramark Holdings has consistently maintained a debt-to-equity ratio of 0.00 over the past five years. A debt-to-equity ratio of 0.00 signifies that the company has zero debt in relation to its equity. This could indicate a conservative capital structure where the company relies more on equity financing rather than debt financing. It suggests a low level of financial risk since there is no debt that needs to be serviced, and the company may have ample equity to support its operations and growth. However, it is important to note that while a low or zero debt-to-equity ratio can be advantageous in terms of financial stability, it could also mean missed opportunities for leveraging debt for potential growth or tax benefits.
Peer comparison
Sep 30, 2023