Guidewire Software Inc (GWRE)

Debt-to-assets ratio

		Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020
Long-term debt	US$ in thousands	671,820	—	—	—	—	397,171	—	—	—	—	—	—	—	—	460,000	—	—	480,000	—	—
Total assets	US$ in thousands	2,596,700	2,226,290	2,040,020	2,013,520	1,919,600	2,027,890	1,916,530	2,003,950	1,948,510	2,266,900	2,157,340	2,183,620	2,178,350	2,321,840	2,249,980	2,335,730	2,338,960	2,364,850	2,208,870	2,221,590
Debt-to-assets ratio		0.26	0.00	0.00	0.00	0.00	0.20	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.20	0.00	0.00	0.20	0.00	0.00

October 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $671,820K ÷ $2,596,700K
= 0.26

The debt-to-assets ratio of Guidewire Software Inc has shown variability over the analyzed periods. As of October 31, 2024, the debt-to-assets ratio stood at 0.26, indicating that the company's total debt represented 26% of its total assets. Prior to this, the ratio had fluctuated between 0.00 and 0.20, suggesting periods of low or even zero debt relative to assets.

A debt-to-assets ratio of 0.26 implies that Guidewire Software Inc relies to some extent on debt financing to support its operations and growth, with 26% of its assets being funded through debt sources. This ratio provides insights into the company's debt management and financial risk, with higher ratios indicating higher financial leverage and potentially higher risk.

It is essential for investors and stakeholders to monitor changes in the debt-to-assets ratio over time to assess the company's financial health and its ability to meet its debt obligations. Additionally, understanding the trend of this ratio can help in evaluating the company's borrowing practices and overall financial strategy.