Insteel Industries Inc (IIIN)
Debt-to-capital ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 381,505 | 389,744 | 302,038 | 264,803 | 246,017 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
September 30, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $381,505K)
= 0.00
The debt-to-capital ratio for Insteel Industries, Inc. has consistently been reported as 0.00 for the past five fiscal years. This indicates that the company has not utilized any debt in its capital structure during this period, as the ratio represents the proportion of a company's total debt to its total capital, which includes both debt and equity. While a low or zero debt-to-capital ratio can suggest a conservative approach to financing and may signify financial stability, it's important to carefully consider the implication of such a capital structure in terms of potential limitations on growth opportunities and the cost of capital. Further analysis of the company's financial statements and management discussions may provide insights into the reasons for maintaining a debt-free capital structure and its impact on the company's overall financial strategy.
Peer comparison
Sep 30, 2023