News Corp A (NWSA)
Debt-to-equity ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 2,855,000 | 2,940,000 | 2,776,000 | 2,285,000 | 1,183,000 |
| Total stockholders’ equity | US$ in thousands | 8,120,000 | 8,064,000 | 8,222,000 | 8,211,000 | 7,582,000 |
| Debt-to-equity ratio | 0.35 | 0.36 | 0.34 | 0.28 | 0.16 |
June 30, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,855,000K ÷ $8,120,000K
= 0.35
The debt-to-equity ratio of News Corp A has shown a fluctuating trend over the past five years, ranging from 0.16 to 0.36. The ratio measures the proportion of the company's debt financing relative to its equity financing. A higher ratio indicates higher financial risk due to increased reliance on debt, while a lower ratio suggests a more conservative financial structure with a higher proportion of equity.
In the latest fiscal year ending June 30, 2024, News Corp A's debt-to-equity ratio was 0.35, indicating that the company had a moderate level of debt compared to its equity. This suggests that News Corp A's capital structure was fairly balanced between debt and equity.
Comparing this to the previous years, the ratios have fluctuated within a moderate range. The ratio increased from 0.16 in June 30, 2020, to 0.36 in June 30, 2023, before decreasing slightly to 0.35 in June 30, 2024. This suggests that News Corp A may have taken on more debt in recent years, possibly for strategic investments or operational needs.
Overall, the trend in News Corp A's debt-to-equity ratio indicates a relatively stable financial structure with a moderate level of debt relative to equity. It will be important for stakeholders to monitor this ratio in conjunction with other financial indicators to assess the company's overall financial health and risk profile.
Peer comparison
Jun 30, 2024