Kroger Company (KR)
Debt-to-assets ratio
| Feb 3, 2024 | Nov 4, 2023 | Aug 12, 2023 | May 20, 2023 | Jan 28, 2023 | Nov 5, 2022 | Aug 13, 2022 | May 21, 2022 | Jan 29, 2022 | Nov 6, 2021 | Aug 14, 2021 | May 22, 2021 | Jan 30, 2021 | Nov 7, 2020 | May 23, 2020 | Feb 1, 2020 | Nov 9, 2019 | Aug 17, 2019 | May 25, 2019 | Feb 2, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 10,162,000 | 10,143,000 | 10,143,000 | 10,139,000 | 10,139,000 | 10,664,000 | 10,673,000 | 11,279,000 | 11,294,000 | 11,292,000 | 11,270,000 | 11,674,000 | 11,566,000 | 11,084,000 | 11,556,000 | 11,330,000 | 11,311,000 | 11,300,000 | 11,256,000 | 11,248,000 |
| Total assets | US$ in thousands | 50,505,000 | 51,021,000 | 50,202,000 | 50,193,000 | 49,623,000 | 49,987,000 | 48,741,000 | 49,091,000 | 49,086,000 | 49,829,000 | 48,461,000 | 48,811,000 | 48,662,000 | 48,465,000 | 46,942,000 | 45,256,000 | 45,393,000 | 44,462,000 | 44,319,000 | 38,118,000 |
| Debt-to-assets ratio | 0.20 | 0.20 | 0.20 | 0.20 | 0.20 | 0.21 | 0.22 | 0.23 | 0.23 | 0.23 | 0.23 | 0.24 | 0.24 | 0.23 | 0.25 | 0.25 | 0.25 | 0.25 | 0.25 | 0.30 |
February 3, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $10,162,000K ÷ $50,505,000K
= 0.20
The debt-to-assets ratio of Kroger Company has been relatively stable over the past few years, ranging between 0.20 and 0.30. This ratio indicates the proportion of the company's assets that are financed through debt. A lower ratio suggests that the company relies less on debt to finance its operations and investments, while a higher ratio may indicate greater financial leverage.
Kroger's debt-to-assets ratio has remained below 0.25 for most of the periods, signifying a conservative capital structure where a significant portion of assets are financed by equity. This could indicate a lower financial risk for the company as it has a lower reliance on debt financing.
It is worth noting the slight increase in the debt-to-assets ratio from 0.20 to 0.30 between February 2, 2019, and May 23, 2020. This increase may signal a shift in the company's financing strategy during that period, potentially taking on more debt to fund expansion or other strategic initiatives.
Overall, the consistent and relatively low debt-to-assets ratio of Kroger Company suggests a prudent approach to managing its capital structure, maintaining a balance between debt and equity financing to support its operations and growth opportunities.
Peer comparison
Feb 3, 2024