Qualcomm Incorporated (QCOM)

Debt-to-capital ratio

		Sep 30, 2024	Sep 30, 2023	Sep 30, 2022	Sep 30, 2021	Sep 30, 2020
Long-term debt	US$ in thousands	13,270,000	14,484,000	13,537,000	13,701,000	15,226,000
Total stockholders’ equity	US$ in thousands	26,274,000	21,581,000	18,013,000	9,950,000	6,077,000
Debt-to-capital ratio		0.34	0.40	0.43	0.58	0.71

September 30, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $13,270,000K ÷ ($13,270,000K + $26,274,000K)
= 0.34

The debt-to-capital ratio of Qualcomm Incorporated has shown a decreasing trend from 0.71 in September 2020 to 0.34 in September 2024. This indicates that Qualcomm has been reducing its reliance on debt financing relative to its capital structure over the past five years. A lower debt-to-capital ratio signifies a healthier financial position and less financial risk for the company, as it suggests a lower proportion of debt within its capital structure. Qualcomm's decreasing debt-to-capital ratio may indicate improved financial stability and lower financial risk exposure. However, it is important to analyze the company's overall financial health and consider other financial ratios and factors in conjunction with this trend to gain a comprehensive understanding of Qualcomm's financial performance and risk profile.