ePlus inc (PLUS)
Debt-to-capital ratio
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | 9,522 | 5,792 | 12,658 | — |
| Total stockholders’ equity | US$ in thousands | 901,779 | 782,265 | 660,738 | 562,410 | 486,145 |
| Debt-to-capital ratio | 0.00 | 0.01 | 0.01 | 0.02 | 0.00 |
March 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $901,779K)
= 0.00
The debt-to-capital ratio of ePlus Inc has shown a declining trend over the past five years. As of March 31, 2024, the company reported a debt-to-capital ratio of 0.00, indicating that the company had no debt relative to its capital structure. This suggests that ePlus Inc has been managing its debt levels effectively and has a strong capital base to support its operations.
Comparing this to the previous years, we observe a gradual decrease in the debt-to-capital ratio from 0.02 in March 31, 2021, to 0.00 in March 31, 2024. This trend indicates that the company has been reducing its reliance on debt financing in favor of other sources of capital, such as equity or retained earnings.
Overall, the decreasing trend in the debt-to-capital ratio demonstrates a healthy financial position for ePlus Inc, as it indicates lower financial risk and a stronger balance sheet structure. This may allow the company to have more flexibility in managing its capital structure and pursuing strategic initiatives in the future.
Peer comparison
Mar 31, 2024