Edgewell Personal Care Co (EPC)
Debt-to-capital ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,275,000 | 1,360,700 | 1,391,400 | 1,234,200 | 1,237,900 |
| Total stockholders’ equity | US$ in thousands | 1,584,100 | 1,540,500 | 1,467,100 | 1,590,800 | 1,438,600 |
| Debt-to-capital ratio | 0.45 | 0.47 | 0.49 | 0.44 | 0.46 |
September 30, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,275,000K ÷ ($1,275,000K + $1,584,100K)
= 0.45
The debt-to-capital ratio of Edgewell Personal Care Co has shown some fluctuations over the past five years. As of September 30, 2024, the ratio stands at 0.45, which indicates that the company's total debt represents 45% of its total capital. This suggests that Edgewell Personal Care Co relies more on equity financing (55%) rather than debt to fund its operations and growth.
Comparing this to the previous years, the trend in the debt-to-capital ratio shows a slight decrease from 0.47 in 2023 to 0.45 in 2024. This could imply that the company has either reduced its debt levels or increased its capital base during the year.
Looking further back, in 2022, the ratio was higher at 0.49, signaling a higher reliance on debt to finance its operations at that time. However, the ratio improved in 2021 at 0.44, suggesting a decrease in debt utilization compared to the previous year.
In 2020, the ratio was at 0.46, indicating a slightly higher debt-to-capital ratio compared to the current year. Overall, the fluctuations in the debt-to-capital ratio of Edgewell Personal Care Co over the years reflect changes in the company's financing structure and risk profile. It is essential for investors and stakeholders to monitor this ratio to assess the company's leveraging strategy and financial health.
Peer comparison
Sep 30, 2024