Paychex Inc (PAYX)

Debt-to-capital ratio

May 31, 2025 Feb 28, 2025 Nov 30, 2024 Aug 31, 2024 May 31, 2024 Feb 29, 2024 Nov 30, 2023 Aug 31, 2023 May 31, 2023 Feb 28, 2023 Nov 30, 2022 Aug 31, 2022 May 31, 2022 Feb 28, 2022 Nov 30, 2021 Aug 31, 2021 May 31, 2021 Feb 28, 2021 Nov 30, 2020 Aug 31, 2020
Long-term debt US$ in thousands
Total stockholders’ equity US$ in thousands 4,128,000 4,116,600 3,925,700 3,850,400 3,801,000 3,747,100 3,524,400 3,587,800 3,493,200 3,401,100 3,205,300 3,137,400 3,085,200 3,286,000 3,119,800 3,043,500 2,948,000 2,976,400 2,889,700 2,778,600
Debt-to-capital ratio 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

May 31, 2025 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $4,128,000K)
= 0.00

The data indicates that the debt-to-capital ratio for Paychex Inc. has consistently been recorded at 0.00 across multiple reporting dates from August 31, 2020, through May 31, 2025. This persistent ratio suggests that the company has maintained an essentially debt-free capital structure throughout this period. The absence of debt relative to total capital implies that Paychex Inc. has relied predominantly on equity financing for its operations and growth initiatives, with little to no reliance on debt financing. This conservative financing approach highlights a low or nonexistent leverage profile, potentially reducing financial risk associated with debt obligations. However, it also suggests limited use of leverage benefits, such as tax shields, that debt can provide. Overall, the company’s capital structure appears to be characterized by a lack of debt, emphasizing financial stability and low leverage risk.