FedEx Corporation (FDX)
Debt-to-capital ratio
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | 0 |
| Total stockholders’ equity | US$ in thousands | 27,582,000 | 26,088,000 | 24,939,000 | 24,168,000 | 18,295,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
May 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $27,582,000K)
= 0.00
Based on the data provided, FedEx Corporation has consistently maintained a debt-to-capital ratio of 0.00 for the past five years. This indicates that the company has not utilized debt as a significant portion of its capital structure during this period. A debt-to-capital ratio of 0.00 suggests that FedEx has relied more on equity financing rather than debt financing to fund its operations and investments. This may indicate a conservative financial strategy aimed at minimizing financial risk and ensuring financial stability. It is important to note that a debt-to-capital ratio of 0.00 does not necessarily mean that FedEx has zero debt, but rather that its debt obligations are minimal compared to its total capital.