Becton Dickinson and Company (BDX)

Debt-to-capital ratio

		Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020	Sep 30, 2019
Long-term debt	US$ in thousands	14,738,000	13,886,000	17,110,000	17,224,000	18,081,000
Total stockholders’ equity	US$ in thousands	25,796,000	25,282,000	23,677,000	23,765,000	21,081,000
Debt-to-capital ratio		0.36	0.35	0.42	0.42	0.46

September 30, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $14,738,000K ÷ ($14,738,000K + $25,796,000K)
= 0.36

The debt-to-capital ratio of Becton Dickinson & Co. has shown a declining trend over the past five years. The ratio decreased from 0.48 in 2019 to 0.38 in 2023, indicating that the company has been relying less on debt to finance its operations and investment activities relative to its total capital. This trend suggests improved financial stability and a more conservative capital structure. A lower debt-to-capital ratio can also indicate a reduced risk of financial distress and potentially lower interest expenses for the company. Overall, the declining trend in the debt-to-capital ratio reflects a positive trend in the company's debt management and capital structure.