General Mills Inc (GIS)

Debt-to-capital ratio

		May 31, 2025	Feb 28, 2025	Nov 30, 2024	Aug 31, 2024	May 31, 2024	May 26, 2024	Feb 29, 2024	Feb 25, 2024	Nov 30, 2023	Nov 26, 2023	Aug 31, 2023	Aug 27, 2023	May 31, 2023	May 28, 2023	Feb 28, 2023	Feb 26, 2023	Nov 30, 2022	Nov 27, 2022	Aug 31, 2022	Aug 28, 2022
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	8,140,200	—	8,622,500	—	8,474,600
Total stockholders’ equity	US$ in thousands	9,199,200	9,263,200	9,200,700	9,275,600	9,396,700	9,396,700	9,436,800	9,436,800	9,378,800	9,378,800	10,262,400	10,262,400	10,449,600	10,449,600	10,234,500	10,234,500	10,121,200	10,121,200	10,574,800	10,574,800
Debt-to-capital ratio		0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.44	0.00	0.46	0.00	0.44

May 31, 2025 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $9,199,200K)
= 0.00

The analysis of General Mills Inc.'s debt-to-capital ratio based on the provided data indicates that the company experienced fluctuations in this financial metric over the analyzed period. Specifically, the ratio was recorded at 0.44 on August 28, 2022, and November 27, 2022, suggesting a moderate level of leverage during these periods, with debt representing approximately 44-46% of the total capital structure. However, conspicuously, the ratio moved to zero on several subsequent dates, including August 31, 2022; November 30, 2022; February 28, 2023; May 28, 2023; and throughout the rest of the period up to May 31, 2025. This pattern implies that, at many points, the company either maintained a negligible level of debt or that the debt figures were not reported or were effectively offset by equity, resulting in a debt-to-capital ratio of zero.

The recurring presence of a zero ratio over an extended period suggests a significant reduction or elimination of long-term debt relative to total capital, potentially indicating efforts to deleverage or a shift towards an equity-financed capital structure. Alternatively, it may reflect changes in reporting practices or accounting classifications affecting how debt is recorded.

Overall, the company's debt-to-capital ratio demonstrates considerable variability, with an initial period of moderate leverage followed by an extended stretch of negligible or zero reported debt-to-capital ratios. This transition highlights a trend toward decreased reliance on debt financing, which might contribute to prudence in risk management and capital structuring strategies.