Oracle Corporation (ORCL)
Debt-to-assets ratio
| May 31, 2024 | May 31, 2023 | May 31, 2022 | May 31, 2021 | May 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 76,264,000 | 86,420,000 | 72,110,000 | 75,995,000 | 69,226,000 |
| Total assets | US$ in thousands | 140,976,000 | 134,384,000 | 109,297,000 | 131,107,000 | 115,438,000 |
| Debt-to-assets ratio | 0.54 | 0.64 | 0.66 | 0.58 | 0.60 |
May 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $76,264,000K ÷ $140,976,000K
= 0.54
The debt-to-assets ratio for Oracle Corporation has exhibited a declining trend over the past five years, indicating a decreasing reliance on debt to finance its assets. In particular, the ratio decreased from 0.60 in 2020 to 0.54 in 2024, suggesting improved financial stability and a stronger balance sheet position. This trend implies that Oracle has been effectively managing its debt levels in relation to its total assets, potentially reducing financial risk and enhancing investor confidence. Overall, the decreasing debt-to-assets ratio signals a more conservative approach to leveraging, which could contribute to Oracle's long-term financial health and sustainability.
Peer comparison
May 31, 2024