Walt Disney Company (DIS)

Debt-to-equity 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 stockholders’ equity	US$ in thousands	100,721,000	99,277,000	97,610,000	97,859,000	96,149,000	95,008,000	92,500,000	90,636,000	89,864,000	88,553,000	86,741,000	85,540,000	84,071,000	83,583,000	85,866,000	90,407,000	89,757,000	88,877,000	90,472,000	89,938,000
Debt-to-equity ratio		0.41	0.42	0.46	0.46	0.47	0.48	0.50	0.51	0.53	0.55	0.59	0.60	0.63	0.63	0.63	0.47	0.42	0.43	0.40	0.42

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $41,603,000K ÷ $100,721,000K
= 0.41

The debt-to-equity ratio of Walt Disney Company has shown a fluctuating trend over the past few years. The ratio indicates the proportion of the company's debt to its equity and reflects its financial leverage.

From December 2019 to March 2020, the debt-to-equity ratio remained relatively stable around 0.42, suggesting a balanced mix of debt and equity in the capital structure. However, there was a notable increase in the ratio in June 2020 to 0.63, indicating a higher reliance on debt financing compared to equity.

Subsequently, there was a slight decline in the ratio by December 2020 to 0.47, showing a decrease in the company's debt relative to equity. The ratio continued to fluctuate but generally trended upwards, reaching 0.59 by June 2021 and peaking at 0.63 by March 2022.

The upward trend in the debt-to-equity ratio may signal increasing financial risk as the company takes on more debt compared to equity, potentially leading to higher interest payments and financial obligations. It is essential for investors and stakeholders to monitor this ratio closely to assess the company's financial health and risk exposure.