Powell Industries Inc (POWL)
Debt-to-equity ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | 0 | 0 | 400 | 800 |
| Total stockholders’ equity | US$ in thousands | 345,026 | 297,206 | 301,223 | 306,626 | 299,153 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
September 30, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $345,026K
= 0.00
As per the provided data, Powell Industries, Inc. has consistently maintained a debt-to-equity ratio of 0.00 for the past five years, indicating that the company has not utilized any debt financing to support its operations relative to its equity. A low or zero debt-to-equity ratio is generally perceived positively by investors and creditors as it suggests that the company may have lower financial risk and is less reliant on external borrowing to fund its business activities. However, it's important to consider the industry norms and the specific circumstances of the company to fully assess the implications of this ratio.
Peer comparison
Sep 30, 2023