Adtalem Global Education Inc (ATGE)

Debt-to-assets ratio

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Long-term debt	US$ in thousands	648,712	695,077	838,908	1,067,710	286,115
Total assets	US$ in thousands	2,741,420	2,810,540	3,030,240	3,084,840	2,258,060
Debt-to-assets ratio		0.24	0.25	0.28	0.35	0.13

June 30, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $648,712K ÷ $2,741,420K
= 0.24

The debt-to-assets ratio of Adtalem Global Education Inc has been relatively stable over the past five years, ranging from 0.13 to 0.35. A lower ratio suggests that the company relies less on borrowing to finance its assets, indicating a lower financial risk. However, it is important to note that the ratio increased slightly from 0.13 in 2020 to 0.35 in 2021 before decreasing to 0.24 in 2024, which might indicate a fluctuating level of debt relative to the company's total assets over the years. Overall, the company appears to have a conservative approach to debt management, maintaining a reasonable level of leverage to support its asset base.