Central Garden & Pet Company (CENT)
Debt-to-assets ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,189,810 | 1,187,960 | 1,186,240 | 1,184,680 | 693,956 |
| Total assets | US$ in thousands | 3,553,440 | 3,378,650 | 3,282,000 | 3,116,680 | 2,339,360 |
| Debt-to-assets ratio | 0.33 | 0.35 | 0.36 | 0.38 | 0.30 |
September 30, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,189,810K ÷ $3,553,440K
= 0.33
The debt-to-assets ratio of Central Garden & Pet Company has shown a decreasing trend over the past five years, declining from 0.30 in 2020 to 0.33 in 2024. This ratio indicates the percentage of a company's assets financed by debt, with lower values suggesting a lower reliance on debt for funding operations. Central Garden & Pet Company's decreasing debt-to-assets ratio could signify a decreasing financial risk and a stronger financial position, as the company is using less debt relative to its asset base. This trend suggests that the company has been managing its debt levels effectively and diversifying its sources of funding, which may enhance its overall financial stability. However, it is important to continue monitoring the debt-to-assets ratio in the future to ensure sustainable and prudent financial management practices.
Peer comparison
Sep 30, 2024