Nordson Corporation (NDSN)
Debt-to-equity ratio
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 2,101,200 | 1,398,160 | 1,414,360 | 1,513,870 | 1,621,390 | 727,455 | 345,899 | 595,166 | 345,320 | 401,698 | 479,703 | 773,191 | 781,709 | 789,731 | 829,044 | 981,284 | 1,067,950 | 1,221,080 | 1,237,220 | 1,074,310 |
| Total stockholders’ equity | US$ in thousands | 2,932,190 | 2,853,760 | 2,788,270 | 2,723,970 | 2,598,060 | 2,579,810 | 2,497,000 | 2,446,680 | 2,294,380 | 2,199,040 | 2,190,620 | 2,218,630 | 2,159,130 | 2,063,180 | 1,950,360 | 1,857,180 | 1,758,990 | 1,769,910 | 1,652,490 | 1,634,270 |
| Debt-to-equity ratio | 0.72 | 0.49 | 0.51 | 0.56 | 0.62 | 0.28 | 0.14 | 0.24 | 0.15 | 0.18 | 0.22 | 0.35 | 0.36 | 0.38 | 0.43 | 0.53 | 0.61 | 0.69 | 0.75 | 0.66 |
October 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,101,200K ÷ $2,932,190K
= 0.72
The debt-to-equity ratio of Nordson Corporation has shown fluctuations over the recent quarters. From January 2020 to July 2022, the company maintained a relatively low debt-to-equity ratio, indicating a conservative capital structure. However, there was a notable increase in the ratio in the subsequent quarters, reaching a peak of 0.75 by January 2021. This increase suggests that Nordson utilized more debt relative to equity in financing its operations during this period.
Subsequently, there was a decline in the debt-to-equity ratio, dropping to 0.14 by April 2023, which indicates a significant reduction in the company's debt level compared to equity. This low ratio suggests that Nordson had a more conservative financial structure during that quarter. However, the ratio increased again in the following quarters to around 0.72 by October 2024, indicating that the company had once again utilized more debt compared to equity in its capital structure.
Overall, Nordson's debt-to-equity ratio has displayed variability, with periods of conservative financing followed by increases in leverage. It is essential to closely monitor this ratio to assess the company's leverage and financial risk over time.
Peer comparison
Oct 31, 2024