OSI Systems Inc (OSIS)

Debt-to-equity ratio

		Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019
Long-term debt	US$ in thousands	129,383	131,214	132,792	134,746	136,491	138,190	140,057	143,150	48,668	48,708	602	692	276,421	273,997	271,667	269,356	267,072	264,777	262,326	260,007
Total stockholders’ equity	US$ in thousands	863,483	813,413	770,443	724,457	726,165	666,917	647,754	624,653	638,424	618,494	620,148	623,312	639,820	615,893	587,636	557,540	572,152	552,276	557,716	541,564
Debt-to-equity ratio		0.15	0.16	0.17	0.19	0.19	0.21	0.22	0.23	0.08	0.08	0.00	0.00	0.43	0.44	0.46	0.48	0.47	0.48	0.47	0.48

June 30, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $129,383K ÷ $863,483K
= 0.15

The debt-to-equity ratio of OSI Systems Inc has fluctuated over the past few quarters. From December 2019 to December 2020, the ratio increased steadily from 0.47 to 0.46 before jumping to 0.43 by March 2021. The ratio peaked at 0.48 in September 2021 and remained at that level until March 2022 before dropping to 0.08 by June 2022. This significant reduction suggests a substantial decrease in debt relative to equity.

From June 2022 to September 2022, there was a slight increase in the ratio to 0.08, indicating a small rise in debt relative to equity. However, from September 2022 to December 2022, the ratio increased steadily to 0.22 and then further to 0.23 by March 2023, which indicates a higher level of debt compared to equity in the company's capital structure.

The debt-to-equity ratio then continued to rise, reaching 0.21 by June 2023 and 0.19 by September 2023. The ratio remained at 0.19 in December 2023 before rising again to 0.17 by March 2024 and 0.16 by June 2024. This upward trend in the ratio over the latter half of 2023 and the first half of 2024 suggests an increasing reliance on debt financing compared to equity.

Overall, the fluctuation in OSI Systems Inc's debt-to-equity ratio over the analyzed periods indicates varying levels of debt relative to equity in the company's capital structure, which could have implications for its financial risk and leverage position.