Central Garden & Pet Company (CENT)
Debt-to-equity ratio
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,189,810 | 1,189,370 | 1,188,960 | 1,189,090 | 1,187,960 | 1,187,500 | 1,212,050 | 1,186,650 | 1,186,240 | 1,185,840 | 1,185,460 | 1,185,060 | 1,184,680 | 1,183,590 | 978,887 | 788,921 | 693,956 | 693,915 | 693,622 | 693,329 |
| Total stockholders’ equity | US$ in thousands | 1,555,650 | 1,593,650 | 1,510,790 | 1,451,890 | 1,451,350 | 1,445,530 | 1,371,090 | 1,322,850 | 1,333,710 | 1,351,020 | 1,293,090 | 1,228,230 | 1,222,250 | 1,240,360 | 1,160,570 | 1,086,590 | 1,076,800 | 1,059,420 | 993,013 | 973,124 |
| Debt-to-equity ratio | 0.76 | 0.75 | 0.79 | 0.82 | 0.82 | 0.82 | 0.88 | 0.90 | 0.89 | 0.88 | 0.92 | 0.96 | 0.97 | 0.95 | 0.84 | 0.73 | 0.64 | 0.65 | 0.70 | 0.71 |
September 30, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,189,810K ÷ $1,555,650K
= 0.76
The debt-to-equity ratio of Central Garden & Pet Company has exhibited fluctuation over the past 20 quarters, ranging from 0.64 to 0.97. The ratio provides insight into the company's capital structure and financial leverage. A higher ratio indicates more reliance on debt financing, while a lower ratio suggests a stronger equity position.
Analyzing the trend, we can observe that the debt-to-equity ratio has generally been above 0.70, signifying a notable presence of debt in the company's capital structure. The ratio peaked at 0.97 in June 2021 and has shown some variability since then, with a downward trend in recent quarters. This decreasing trend may indicate a reduction in debt relative to equity, which could suggest improved financial stability and reduced risk.
However, despite the recent decline, the ratio remains above 0.70, indicating that Central Garden & Pet Company continues to maintain a significant level of debt compared to equity. It would be essential for stakeholders to monitor this ratio closely to assess the company's ability to meet its financial obligations and manage potential risks associated with its debt levels.
Peer comparison
Sep 30, 2024