Avnet Inc (AVT)
Debt-to-capital ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 2,406,630 | 2,988,030 | 1,437,400 | 1,191,330 | 1,424,790 |
| Total stockholders’ equity | US$ in thousands | 4,925,500 | 4,751,670 | 4,192,760 | 4,084,180 | 3,726,400 |
| Debt-to-capital ratio | 0.33 | 0.39 | 0.26 | 0.23 | 0.28 |
June 30, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $2,406,630K ÷ ($2,406,630K + $4,925,500K)
= 0.33
Avnet Inc's debt-to-capital ratio has shown fluctuations over the past five years. The ratio stood at 0.33 as of June 30, 2024, lower than the previous year's ratio of 0.39. This indicates that the company's debt relative to its total capital has decreased.
Comparing the current ratio to five years ago, there has been an increase from 0.28 to 0.33. This suggests that Avnet Inc's reliance on debt financing has increased over the last five years.
Overall, while the recent decrease in the debt-to-capital ratio from the previous year is a positive sign, investors and creditors should continue to monitor Avnet Inc's leverage levels to ensure financial stability.
Peer comparison
Jun 30, 2024