Microchip Technology Inc (MCHP)

Debt-to-capital ratio

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Long-term debt	US$ in thousands	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	7,078,300	6,657,800	6,513,600	5,894,800	5,337,100
Debt-to-capital ratio		0.00	0.00	0.00	0.00	0.00

March 31, 2025 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $7,078,300K)
= 0.00

The debt-to-capital ratio for Microchip Technology Inc has consistently remained at 0.00% from March 31, 2021, to March 31, 2025. This indicates that the company has not taken on any debt relative to its capital structure during this period. A debt-to-capital ratio of 0% suggests that the company is primarily using equity financing rather than debt to fund its operations and investment activities. This can be viewed positively as it may signify lower financial risk and potentially lower interest expenses for the company. However, it is important to consider other financial metrics and factors to have a comprehensive understanding of the company's financial health and capital structure strategies.