Maximus Inc (MMS)

Debt-to-equity ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Long-term debt	US$ in thousands	1,091,950	1,163,150	1,292,480	1,429,140	18,017
Total stockholders’ equity	US$ in thousands	1,842,820	1,667,840	1,549,370	1,480,330	1,241,820
Debt-to-equity ratio		0.59	0.70	0.83	0.97	0.01

September 30, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,091,950K ÷ $1,842,820K
= 0.59

The debt-to-equity ratio of Maximus Inc has exhibited a declining trend over the past five years, indicating a decrease in the company's reliance on debt to finance its operations relative to shareholders' equity. The ratio was 0.59 as of September 30, 2024, down from 0.70 in the previous year. This suggests that the company has been successful in managing its debt levels and improving its financial leverage position. However, it is important to note that in 2020 the ratio was unusually low at 0.01, potentially indicating a significant shift in the company's capital structure or accounting treatment of debt. Overall, the decreasing trend in the debt-to-equity ratio of Maximus Inc reflects a positive development in the company's financial health and risk profile.