Premier Inc (PINC)
Debt-to-capital ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 0 | 102,257 | 203,468 | 304,328 | 4,640 |
| Total stockholders’ equity | US$ in thousands | 1,962,230 | 2,334,360 | 2,248,850 | 2,229,890 | 1,859,570 |
| Debt-to-capital ratio | 0.00 | 0.04 | 0.08 | 0.12 | 0.00 |
June 30, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $0K ÷ ($0K + $1,962,230K)
= 0.00
Premier Inc's debt-to-capital ratio has exhibited a fluctuating trend over the past five years. In Jun 2020 and Jun 2024, the ratio was at 0.00, indicating a debt-free capital structure in both years. However, there was a gradual increase in the subsequent years, reaching 0.04 in Jun 2023, 0.08 in Jun 2022, and 0.12 in Jun 2021, suggesting a growing proportion of debt relative to total capital. The sudden increase in the debt-to-capital ratio from 0.00 in 2020 to 0.12 in 2021 could be a cause for concern and may indicate a significant shift in the company's capital structure towards higher debt levels. Further analysis of Premier Inc's financial health and liquidity position would be necessary to assess the implications of this changing trend in the debt-to-capital ratio.
Peer comparison
Jun 30, 2024