McCormick & Company Incorporated (MKC)
Debt-to-assets ratio
| Nov 30, 2024 | Nov 30, 2023 | Nov 30, 2022 | Nov 30, 2021 | Nov 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 3,593,600 | 3,339,900 | 3,642,300 | 3,973,300 | 3,753,800 |
| Total assets | US$ in thousands | 13,070,300 | 12,862,300 | 13,124,900 | 12,905,800 | 12,089,700 |
| Debt-to-assets ratio | 0.27 | 0.26 | 0.28 | 0.31 | 0.31 |
November 30, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $3,593,600K ÷ $13,070,300K
= 0.27
Based on the data provided, McCormick & Company Incorporated's debt-to-assets ratio has shown a stable trend over the past five years. The ratio decreased from 0.31 in November 30, 2020, to 0.26 in November 30, 2023, before slightly increasing to 0.27 in November 30, 2024.
The decreasing trend in the debt-to-assets ratio indicates that McCormick & Company has been effectively managing its debt levels in relation to its total assets. A lower debt-to-assets ratio suggests that the company relies less on debt financing and may have a stronger financial position.
Overall, with a debt-to-assets ratio consistently below 0.31 over the past five years, McCormick & Company appears to be maintaining a prudent balance between debt and assets, which could indicate financial stability and sound management of its capital structure.