Adtalem Global Education Inc (ATGE)

Debt-to-assets ratio

		Jun 30, 2024	Mar 31, 2024	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
Long-term debt	US$ in thousands	648,712	648,106	696,373	695,725	695,077	694,429	693,781	741,696	838,908	1,225,360	1,599,540	1,600,040	1,067,710	1,067,560	284,131	285,621	286,115	446,610	412,105	327,600
Total assets	US$ in thousands	2,741,420	2,715,030	2,700,920	2,794,160	2,810,540	2,867,120	2,843,040	2,996,050	3,030,240	3,519,920	3,659,770	3,799,060	3,084,840	3,061,780	2,274,880	2,329,900	2,258,060	2,444,020	2,390,610	2,460,320
Debt-to-assets ratio		0.24	0.24	0.26	0.25	0.25	0.24	0.24	0.25	0.28	0.35	0.44	0.42	0.35	0.35	0.12	0.12	0.13	0.18	0.17	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 shown fluctuations over the past few quarters, ranging from 0.12 to 0.44. This ratio indicates the proportion of the company's assets that are financed through debt.

A lower debt-to-assets ratio typically suggests lower financial risk and a stronger financial position, as it indicates that the company relies less on debt to finance its operations. Conversely, a higher ratio could indicate higher financial leverage and potential repayment challenges.

In the case of Adtalem Global Education Inc, the ratio has generally remained within a moderate range, peaking at 0.44 in the first quarter of 2022 and fluctuating between 0.12 and 0.28 in more recent quarters. This suggests that the company has utilized varying levels of debt to finance its assets, with some quarters showing higher reliance on debt compared to others.

It would be important for stakeholders to analyze the trend of this ratio over time and consider it in conjunction with other financial metrics to assess the company's overall financial health and debt management practices.