Central Garden & Pet Company A (CENTA)
Debt-to-capital 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-capital ratio | 0.43 | 0.43 | 0.44 | 0.45 | 0.45 | 0.45 | 0.47 | 0.47 | 0.47 | 0.47 | 0.48 | 0.49 | 0.49 | 0.49 | 0.46 | 0.42 | 0.39 | 0.40 | 0.41 | 0.42 |
September 30, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,189,810K ÷ ($1,189,810K + $1,555,650K)
= 0.43
The debt-to-capital ratio for Central Garden & Pet Company A has shown some fluctuations over the past few quarters. The ratio has been ranging between 0.39 to 0.49 since the end of 2019.
In general, the trend has been increasing slightly over the period, starting at 0.39 in December 2019 and reaching 0.43 as of September 2024. This suggests that the company has been using more debt relative to its total capital over time.
A debt-to-capital ratio of around 0.43 to 0.49 indicates that approximately 43% to 49% of the company's capital structure is comprised of debt, while the remaining percentage represents equity.
It is important for investors and creditors to closely monitor this ratio as higher levels can indicate increased financial risk due to higher leverage. Conversely, lower levels may signal a more conservative financial structure.
Overall, Central Garden & Pet Company A's debt-to-capital ratio has shown a slight upward trend, which could imply a growing reliance on debt financing relative to equity financing over the past few years.
Peer comparison
Sep 30, 2024