Enerpac Tool Group Corp (EPAC)
Debt-to-capital ratio
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 189,503 | 210,337 | 200,000 | 175,000 | 255,000 |
| Total stockholders’ equity | US$ in thousands | 391,979 | 326,620 | 318,611 | 412,198 | 359,226 |
| Debt-to-capital ratio | 0.33 | 0.39 | 0.39 | 0.30 | 0.42 |
August 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $189,503K ÷ ($189,503K + $391,979K)
= 0.33
The debt-to-capital ratio of Enerpac Tool Group Corp has exhibited fluctuating trends over the past five years, ranging from 0.30 to 0.42. In Aug 31, 2024, the ratio stood at 0.33, indicating that debt accounted for 33% of the company's capital structure.
Compared to the prior year, the debt-to-capital ratio has decreased from 0.39 in Aug 31, 2023. This downward trend suggests a potential reduction in the company's reliance on debt financing relative to its total capital.
However, it is important to note that the debt-to-capital ratio was at its lowest point in Aug 31, 2021, at 0.30, indicating a more conservative capital structure with lower debt levels. The subsequent increase in the ratio to 0.42 in Aug 31, 2020, suggests a higher proportion of debt in the capital mix, potentially indicating increased leveraging during that particular period.
Overall, the trend of the debt-to-capital ratio for Enerpac Tool Group Corp showcases variances in the company's capital structure and debt management strategies over the years. Further analysis of the company's financial position and strategic decisions would provide a more comprehensive understanding of these fluctuations.
Peer comparison
Aug 31, 2024