Enerpac Tool Group Corp (EPAC)
Debt-to-equity 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-equity ratio | 0.48 | 0.64 | 0.63 | 0.42 | 0.71 |
August 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $189,503K ÷ $391,979K
= 0.48
The debt-to-equity ratio of Enerpac Tool Group Corp has shown fluctuating trends over the past five years. In 2024, the ratio decreased to 0.48 from the previous year's 0.64. This indicates a lower reliance on debt financing compared to equity.
Comparing it to previous years, the debt-to-equity ratio peaked in 2020 at 0.71 before decreasing in the subsequent years. This reduction may suggest that the company has been actively managing its debt levels or increasing its equity base.
Overall, a decreasing trend in the debt-to-equity ratio can signal improved financial stability and a lower risk of financial distress for Enerpac Tool Group Corp. However, it is important to assess the absolute levels of debt and equity to better understand the company's capital structure and financial health.
Peer comparison
Aug 31, 2024