Bellring Brands LLC (BRBR)

Debt-to-capital ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Long-term debt	US$ in thousands	833,100	856,800	929,500	481,200	622,600
Total stockholders’ equity	US$ in thousands	-205,900	-323,500	-376,200	-3,062,800	-2,182,600
Debt-to-capital ratio		1.33	1.61	1.68	—	—

September 30, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $833,100K ÷ ($833,100K + $-205,900K)
= 1.33

The debt-to-capital ratio of Bellring Brands LLC has shown a decreasing trend over the past three years, declining from 1.68 in September 2022 to 1.33 in September 2024. The decreasing trend indicates that the company has been reducing its reliance on debt financing relative to its total capital base. A lower debt-to-capital ratio may signify improved financial health and stability, as it indicates a lower level of financial risk and leverage. However, it is important to note that a ratio above 1 suggests that the company's debt level exceeds its equity, implying a higher financial risk compared to a ratio below 1. As the ratio continues to decrease, it may be a positive sign for Bellring Brands LLC in terms of its financial structure and risk management.