Stride Inc (LRN)

Debt-to-assets ratio

		Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Long-term debt	US$ in thousands	414,675	414,271	413,869	413,452	413,035	412,638	412,260	411,848	411,438	411,047	410,674	410,269	299,271	295,388	291,624	287,811	—	—	—	—
Total assets	US$ in thousands	1,920,460	1,892,210	1,782,200	1,767,640	1,760,670	1,699,850	1,619,290	1,622,100	1,643,540	1,574,530	1,525,740	1,570,360	1,577,300	1,534,170	1,471,950	1,404,480	1,073,260	1,036,000	826,950	813,497
Debt-to-assets ratio		0.22	0.22	0.23	0.23	0.23	0.24	0.25	0.25	0.25	0.26	0.27	0.26	0.19	0.19	0.20	0.20	0.00	0.00	0.00	0.00

June 30, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $414,675K ÷ $1,920,460K
= 0.22

The debt-to-assets ratio of Stride Inc has been relatively stable over the analyzed periods, ranging between 0.19 and 0.27. This ratio indicates that, on average, the company has financed around 19% to 27% of its total assets using debt.

A lower debt-to-assets ratio suggests a lower financial risk for the company, as it indicates a lower reliance on debt financing. However, it's important to note that having some level of debt can also be beneficial for a company by allowing it to leverage its operations and potentially achieve higher returns on investment.

The ratio of 0.22 to 0.27 indicates that Stride Inc has maintained a conservative level of debt relative to its total assets during the analyzed periods. This suggests that the company has been managing its debt levels prudently, balancing the benefits of debt financing with the associated risks.

Overall, the stability of Stride Inc's debt-to-assets ratio over time indicates a consistent approach to managing its capital structure and financial risk.