The Cheesecake Factory (CAKE)

Debt-to-equity ratio

		Jan 31, 2025	Dec 31, 2024	Oct 31, 2024	Sep 30, 2024	Jul 31, 2024	Jun 30, 2024	Apr 30, 2024	Mar 31, 2024	Jan 31, 2024	Dec 31, 2023	Oct 31, 2023	Sep 30, 2023	Jul 31, 2023	Jun 30, 2023	Apr 30, 2023	Mar 31, 2023	Jan 31, 2023	Dec 31, 2022	Oct 31, 2022	Sep 30, 2022
Long-term debt	US$ in thousands	—	452,062	—	471,558	—	471,054	—	470,551	—	470,047	—	469,543	—	469,040	—	468,536	—	468,032	—	467,528
Total stockholders’ equity	US$ in thousands	443,455	443,455	396,379	396,379	373,980	373,980	332,438	332,438	318,062	318,062	321,644	321,644	325,903	325,903	299,839	299,839	292,003	292,003	323,496	323,496
Debt-to-equity ratio		0.00	1.02	0.00	1.19	0.00	1.26	0.00	1.42	0.00	1.48	0.00	1.46	0.00	1.44	0.00	1.56	0.00	1.60	0.00	1.45

January 31, 2025 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $443,455K
= 0.00

The debt-to-equity ratio of The Cheesecake Factory has shown fluctuations over the reported periods. The ratio was 1.45 on September 30, 2022, indicating that the company had $1.45 in debt for every $1 of equity. However, the ratio dropped to 0.00 on October 31, 2022, suggesting no debt was recorded during that period.

Subsequently, the ratio increased to 1.60 on December 31, 2022, signaling higher debt relative to equity. This pattern of alternating between periods of debt and no debt continued through the subsequent quarters. The ratio was 1.56 on March 31, 2023, 1.44 on June 30, 2023, and 1.46 on September 30, 2023.

The company then experienced zero debt-to-equity ratio in the following periods, including January 31, 2023, April 30, 2023, July 31, 2023, and October 31, 2023. The ratio increased again to 1.48 on December 31, 2023, followed by another period of no debt on January 31, 2024.

The trend of fluctuating between debt and no debt continued, with the ratio reaching 1.42 on March 31, 2024, and 1.26 on June 30, 2024. However, on July 31, 2024, the debt-to-equity ratio dropped to 0.00 again, indicating no debt recorded during that period.

For the most recent quarters, the ratio increased to 1.19 on September 30, 2024, before dropping to 0.00 on October 31, 2024. Finally, the ratio decreased further to 1.02 on December 31, 2024, and remained at 0.00 on January 31, 2025.

Overall, the fluctuating debt-to-equity ratio of The Cheesecake Factory suggests varying levels of leverage and financial risk over the reported periods as the company alternated between having debt and being debt-free.