Extreme Networks Inc (EXTR)

Debt-to-assets ratio

		Jun 30, 2024	Mar 31, 2024	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
Long-term debt	US$ in thousands	178,265	180,597	182,931	185,261	187,591	198,188	222,669	231,640	270,570	279,514	288,458	297,379	315,865	322,402	328,941	335,461	394,585	399,704	348,916	353,406
Total assets	US$ in thousands	1,042,590	1,085,470	1,142,660	1,106,510	1,141,710	1,068,400	1,062,180	1,057,780	1,068,510	1,024,840	1,012,800	1,008,800	1,010,090	953,676	945,837	959,494	979,088	973,452	1,014,650	1,051,790
Debt-to-assets ratio		0.17	0.17	0.16	0.17	0.16	0.19	0.21	0.22	0.25	0.27	0.28	0.29	0.31	0.34	0.35	0.35	0.40	0.41	0.34	0.34

June 30, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $178,265K ÷ $1,042,590K
= 0.17

The debt-to-assets ratio of Extreme Networks Inc has exhibited fluctuations over the past several quarters. The ratio has shown a slight increase from 0.16 in December 2023 to 0.17 in March 2024, remaining relatively stable at this level in the subsequent quarter. However, compared to the same period in the previous year, the ratio has decreased slightly, indicating that the company has reduced its reliance on debt to finance its operations.

The trend of the debt-to-assets ratio over the past few years shows a general upward trajectory, with the ratio climbing from 0.22 in September 2022 to 0.41 in September 2019. This indicates that Extreme Networks Inc has been gradually increasing its debt relative to its total assets over this period.

The increasing trend in the debt-to-assets ratio suggests that the company may be taking on more debt to fuel growth or meet financial obligations. While a higher ratio can indicate a higher level of financial risk due to increased debt obligations, it can also potentially signify higher leverage for the company to invest in growth opportunities.

Overall, the debt-to-assets ratio of Extreme Networks Inc reflects the company's evolving capital structure and financial strategy, highlighting the importance of monitoring how it manages its debt levels relative to its asset base.