Walt Disney Company (DIS)

Debt-to-assets ratio

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Long-term debt	US$ in thousands	41,603,000	42,101,000	44,544,000	45,066,000	45,128,000	45,299,000	46,022,000	46,624,000	47,349,000	48,540,000	51,110,000	50,903,000	52,878,000	52,917,000	54,197,000	42,770,000	38,057,000	38,129,000	36,311,000	37,803,000
Total assets	US$ in thousands	197,774,000	205,579,000	203,783,000	204,858,000	202,124,000	203,631,000	204,074,000	202,453,000	203,311,000	203,609,000	202,221,000	200,250,000	201,888,000	201,549,000	207,649,000	206,294,000	200,948,000	193,984,000	209,475,000	214,342,000
Debt-to-assets ratio		0.21	0.20	0.22	0.22	0.22	0.22	0.23	0.23	0.23	0.24	0.25	0.25	0.26	0.26	0.26	0.21	0.19	0.20	0.17	0.18

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $41,603,000K ÷ $197,774,000K
= 0.21

The debt-to-assets ratio of Walt Disney Company has shown a general increasing trend over the past five years, indicating a higher proportion of debt relative to assets. The ratio ranged between 0.17 to 0.26 during this period, with a slight fluctuation but overall demonstrating a gradual increase.

A higher debt-to-assets ratio suggests that a significant portion of the company's assets are financed through debt rather than equity. This can potentially expose the company to higher financial risks, especially in times of economic downturn or rising interest rates. However, it's essential to consider the company's overall financial health, ability to service its debt, and investment strategies when evaluating the impact of the debt-to-assets ratio. Any significant changes in this ratio over time could indicate shifts in the company's capital structure and financial leverage.