Microsoft Corporation (MSFT)

Debt-to-equity ratio

Jun 30, 2025 Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021
Long-term debt US$ in thousands
Total stockholders’ equity US$ in thousands 343,479,000 268,477,000 206,223,000 166,542,000 141,988,000
Debt-to-equity ratio 0.00 0.00 0.00 0.00 0.00

June 30, 2025 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $343,479,000K
= 0.00

The data indicates that Microsoft Corporation's debt-to-equity ratio has consistently remained at 0.00 across the periods from June 30, 2021, through June 30, 2025. This uniformity suggests that the company has not reported any debt relative to its equity during these years. Consequently, the firm appears to operate entirely without debt financing, relying instead on internal funds, equity investments, or other sources that do not constitute traditional debt obligations. The absence of debt funding implies a notably conservative approach to leveraging, which may enhance financial stability and reduce interest-related liabilities but could also limit potential growth opportunities that leverage might facilitate. Overall, the zero debt-to-equity ratio over the observed period reflects a debt-free capital structure for Microsoft Corporation.


See also:

Microsoft Corporation Debt to Equity