Microsoft Corporation (MSFT)
Debt-to-capital ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 268,477,000 | 206,223,000 | 166,542,000 | 141,988,000 | 118,304,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
June 30, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $268,477,000K)
= 0.00
The debt-to-capital ratio for Microsoft Corporation has remained consistently at 0.00 from June 30, 2020, to June 30, 2024. This indicates that the company has not relied on debt as a significant source of financing in relation to its overall capital structure during this period. A low or zero debt-to-capital ratio typically signifies a lower financial risk as the company is less burdened by debt obligations. Microsoft's stable and low debt-to-capital ratio reflects a strong financial position and efficient capital management strategy, contributing to its overall financial stability and ability to pursue growth opportunities without being heavily leveraged.
Peer comparison
Jun 30, 2024