Carnival Corporation (CCL)

Debt-to-capital ratio

		Nov 30, 2024	Nov 30, 2023	Nov 30, 2022	Nov 30, 2021	Nov 30, 2020
Long-term debt	US$ in thousands	25,936,000	28,483,000	31,953,000	28,509,000	22,130,000
Total stockholders’ equity	US$ in thousands	9,251,000	6,882,000	7,065,000	12,144,000	20,555,000
Debt-to-capital ratio		0.74	0.81	0.82	0.70	0.52

November 30, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $25,936,000K ÷ ($25,936,000K + $9,251,000K)
= 0.74

Based on the provided data, Carnival Corporation's debt-to-capital ratio has shown an increasing trend over the past five years. The ratio has increased from 0.52 in November 30, 2020, to 0.74 in November 30, 2024. This indicates that the company has been relying more on debt financing relative to its total capital structure during this period.

The upward trend in the debt-to-capital ratio suggests that Carnival Corporation may be taking on more debt to fund its operations or expansion initiatives. This can introduce higher financial risk as the company's debt levels increase compared to its equity. It is important for investors and stakeholders to monitor this trend closely to assess the company's overall financial health and its ability to manage its debt obligations effectively.