Medtronic PLC (MDT)

Debt-to-capital ratio

		Apr 30, 2024	Apr 26, 2024	Apr 30, 2023	Apr 28, 2023	Apr 30, 2022
Long-term debt	US$ in thousands	—	—	—	21,700,000	—
Total stockholders’ equity	US$ in thousands	50,214,000	50,214,000	51,483,000	51,483,000	52,551,000
Debt-to-capital ratio		0.00	0.00	0.00	0.30	0.00

April 30, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $50,214,000K)
= 0.00

The debt-to-capital ratio of Medtronic PLC has shown fluctuations over the years based on the data provided. As of April 30, 2022, the company had a debt-to-capital ratio of 0.00, indicating that the company had no debt in relation to its total capital. However, by April 28, 2023, the ratio increased to 0.30, which suggests that 30% of the company's capital was funded by debt. This increase in the ratio could indicate that the company took on debt to finance its operations or investments.

Subsequently, the ratio reverted to 0.00 as of April 30, 2023, which implies a return to a debt-free capital structure. The company maintained this position as of April 26, 2024, and April 30, 2024, with a debt-to-capital ratio of 0.00 for both years. This trend may indicate the company's strategy to reduce dependency on debt financing and rely more on equity or internal funds for capital needs.

Overall, the fluctuation in the debt-to-capital ratio of Medtronic PLC reflects changes in the company's financing decisions and capital structure over the period analyzed. A lower ratio indicates lower financial risk and less dependency on debt, while a higher ratio may suggest leveraging to support growth or strategic initiatives.