Salesforce.com Inc (CRM)

Debt-to-assets ratio

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Long-term debt	US$ in thousands	8,427,000	8,426,000	8,424,000	9,421,000	9,419,000	9,418,000	9,416,000	9,595,000	10,592,000	10,591,000	10,589,000	2,672,000	2,673,000	2,672,000	2,673,000	2,673,000	2,673,000	2,824,000	2,973,000	3,173,000
Total assets	US$ in thousands	99,823,000	91,022,000	92,447,000	93,541,000	98,849,000	91,884,000	94,148,000	93,022,000	95,209,000	87,436,000	88,658,000	64,885,000	66,301,000	59,136,000	57,780,000	53,623,000	55,126,000	49,942,000	33,336,000	33,154,000
Debt-to-assets ratio		0.08	0.09	0.09	0.10	0.10	0.10	0.10	0.10	0.11	0.12	0.12	0.04	0.04	0.05	0.05	0.05	0.05	0.06	0.09	0.10

January 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $8,427,000K ÷ $99,823,000K
= 0.08

The debt-to-assets ratio of Salesforce Inc has shown a gradual decline over the past year, indicating improved financial health and reduced reliance on debt financing. In Q4 2024, the ratio stood at 0.09, the lowest among the reported periods. This suggests that only 9% of the company's total assets were funded by debt during that quarter.

Consistent with the trend, the ratio has generally remained stable around 0.10 in the recent quarters, indicating a balanced capital structure with a moderate level of debt relative to assets. The decrease from 0.12 in Q3 2023 to 0.10 in Q4 2024 reflects a positive trend of decreasing financial leverage.

Overall, the decreasing debt-to-assets ratio of Salesforce Inc suggests effective management of debt levels and efficient utilization of assets to generate revenues, which can enhance the company's financial stability and performance in the long run.