Progress Software Corporation (PRGS)

Debt-to-assets ratio

		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	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019
Long-term debt	US$ in thousands	691,262	710,883	743,634	776,362	804,102	611,845	612,887	613,904	614,934	534,527	538,658	542,780	343,758	364,260	271,261	276,762	280,382	284,002	287,622	291,194
Total assets	US$ in thousands	1,547,770	1,602,780	1,597,470	1,601,880	1,643,610	1,411,480	1,346,290	1,354,580	1,353,120	1,363,540	1,275,490	1,239,990	1,027,060	1,041,780	919,468	895,602	890,182	881,271	859,925	829,905
Debt-to-assets ratio		0.45	0.44	0.47	0.48	0.49	0.43	0.46	0.45	0.45	0.39	0.42	0.44	0.33	0.35	0.30	0.31	0.31	0.32	0.33	0.35

February 29, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $691,262K ÷ $1,547,770K
= 0.45

The debt-to-assets ratio of Progress Software Corporation has shown some fluctuations over the past few reporting periods. The ratio ranged from 0.30 to 0.49 during the period from May 2019 to Feb 2024. Overall, the company's debt-to-assets ratio has been relatively stable, with a general trend of hovering around 0.4 to 0.5, indicating that the company finances a significant portion of its assets through debt.

The debt-to-assets ratio provides insight into the company's level of financial leverage and risk exposure. A higher ratio indicates that a larger portion of the company's assets is financed by debt, which may lead to higher financial risk and interest payments. On the other hand, a lower ratio indicates a lower reliance on debt financing, suggesting a more conservative approach to capital structure.

Progress Software Corporation's average debt-to-assets ratio over this period appears to be around 0.40, showing a moderate level of debt utilization to fund its operations and investments. It is essential for investors and stakeholders to monitor this ratio over time to assess the company's ability to meet its financial obligations and manage its debt effectively.