Darden Restaurants Inc (DRI)

Debt-to-equity ratio

		May 26, 2024	Feb 25, 2024	Nov 26, 2023	Aug 27, 2023	May 28, 2023	Feb 26, 2023	Nov 27, 2022	Aug 28, 2022	May 29, 2022	Feb 27, 2022	Nov 28, 2021	Aug 29, 2021	May 30, 2021	Feb 28, 2021	Nov 29, 2020	Aug 30, 2020	May 31, 2020	Feb 23, 2020	Nov 24, 2019	Aug 25, 2019
Long-term debt	US$ in thousands	—	—	—	—	—	880,900	885,800	895,100	901,000	916,400	929,000	936,700	929,800	929,700	929,400	929,100	928,800	928,500	928,200	928,000
Total stockholders’ equity	US$ in thousands	2,242,500	2,180,900	2,039,700	2,148,000	2,201,500	2,043,900	2,020,900	2,064,100	2,198,200	2,285,800	2,543,000	2,752,400	2,813,100	2,575,500	2,455,100	2,375,000	2,331,200	2,341,200	2,273,700	2,381,300
Debt-to-equity ratio		0.00	0.00	0.00	0.00	0.00	0.43	0.44	0.43	0.41	0.40	0.37	0.34	0.33	0.36	0.38	0.39	0.40	0.40	0.41	0.39

May 26, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $2,242,500K
= 0.00

The debt-to-equity ratio of Darden Restaurants Inc has shown a decreasing trend over the past few quarters, indicating a lower reliance on debt financing compared to equity. The ratio was consistently at 0.00 from May 26, 2024 to Aug 27, 2023, suggesting no debt in the capital structure. However, starting from Nov 27, 2022, the ratio began to increase gradually, reaching a peak of 0.44 on Feb 26, 2023. Since then, there has been a downward trend, with the ratio fluctuating around 0.40 in more recent quarters.

The downward trend in the debt-to-equity ratio suggests that Darden Restaurants Inc has been actively managing its debt levels and moving towards a more balanced capital structure. This could be viewed positively by investors and creditors as it indicates a lower financial risk and potentially better financial health for the company. Monitoring this ratio over time will provide insights into Darden Restaurants Inc's long-term financial leverage and stability.