Guidewire Software Inc (GWRE)

Debt-to-capital 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 stockholders’ equity	US$ in thousands	1,268,030	1,342,730	1,285,370	1,256,110	1,205,650	1,199,470	1,195,110	1,220,170	1,185,160	1,451,660	1,185,160	1,480,470	1,498,380	1,544,890	1,556,480	1,644,660	1,659,860	1,656,770	1,586,010	1,592,560
Debt-to-capital ratio		0.35	0.00	0.00	0.00	0.00	0.25	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.23	0.00	0.00	0.22	0.00	0.00

October 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $671,820K ÷ ($671,820K + $1,268,030K)
= 0.35

Guidewire Software Inc's debt-to-capital ratio has fluctuated over the past few years, with the ratio being relatively low or even zero in most periods.

The ratio was 0.22 as of July 31, 2020, and increased slightly to 0.23 as of April 30, 2021. However, it returned to 0.00 in subsequent periods, indicating that the company had minimal or no debt compared to its capital during those times.

A notable increase was observed on July 31, 2023, with the ratio reaching 0.25, suggesting a slight increase in debt relative to the company's capital. This increase was followed by another spike on October 31, 2024, where the ratio rose to 0.35, marking the highest level in the provided data.

Overall, Guidewire Software Inc has maintained a low debt-to-capital ratio, signaling a conservative approach to leveraging debt in its capital structure. It is important to monitor future trends in this ratio to assess the company's financial risk and capital structure management.