Fair Isaac Corporation (FICO)

Debt-to-assets ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Long-term debt	US$ in thousands	2,194,020	1,811,660	1,823,670	1,009,020	739,435
Total assets	US$ in thousands	1,717,880	1,575,280	1,442,030	1,567,780	1,606,240
Debt-to-assets ratio		1.28	1.15	1.26	0.64	0.46

September 30, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,194,020K ÷ $1,717,880K
= 1.28

Fair Isaac Corporation's debt-to-assets ratio has shown an increasing trend over the past five years, indicating a higher reliance on debt to finance its assets.

In 2020, the ratio was 0.46, which suggests that the company had a lower level of debt relative to its assets. However, by 2024, the ratio had increased to 1.28, indicating that the company's debt levels had risen significantly in comparison to its asset base over the five-year period.

This increasing trend in the debt-to-assets ratio may raise concerns among investors and creditors as it could indicate higher financial risk and leverage for the company. It is important to closely monitor this ratio to assess the company's ability to manage its debt obligations and financial stability in the future.