Cintas Corporation (CTAS)

Debt-to-assets ratio

		May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019
Long-term debt	US$ in thousands	2,025,930	2,474,910	2,474,290	2,477,090	2,486,400	2,485,950	2,485,280	2,484,600	2,483,930	1,343,510	1,343,370	1,343,220	1,642,830	2,291,420	2,290,930	2,290,450	2,539,700	2,539,160	2,538,610	2,538,060
Total assets	US$ in thousands	9,168,820	8,978,880	8,813,870	8,719,680	8,546,360	8,466,000	8,427,010	8,261,030	8,147,260	8,168,600	8,017,410	7,857,750	8,236,820	8,347,500	8,454,750	8,043,380	7,669,880	7,901,980	7,887,340	7,661,900
Debt-to-assets ratio		0.22	0.28	0.28	0.28	0.29	0.29	0.29	0.30	0.30	0.16	0.17	0.17	0.20	0.27	0.27	0.28	0.33	0.32	0.32	0.33

May 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,025,930K ÷ $9,168,820K
= 0.22

The debt-to-assets ratio for Cintas Corporation has shown some fluctuations over the past multiple quarters. The ratio has ranged from 0.16 to 0.33 during the period covered by the data.

In general, the trend indicates that Cintas Corporation has been maintaining a moderate level of debt relative to its total assets. A lower debt-to-assets ratio suggests that the company has a lower level of financial leverage and may be less risky for creditors. On the other hand, a higher ratio could indicate higher financial risk and a greater reliance on debt to finance its operations.

It is notable that the debt-to-assets ratio increased from 0.16 to 0.33 over this period, peaking in the most recent quarter. This increase could imply that the company has taken on additional debt relative to its asset base, potentially to fund growth or investment opportunities.

Overall, the debt-to-assets ratio analysis provides insight into the capital structure and financial leverage of Cintas Corporation, indicating how much of the company's assets are funded by debt. Investors and stakeholders may use this information to assess the company's financial risk and solvency.