Ralph Lauren Corp Class A (RL)

Debt-to-capital ratio

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Long-term debt	US$ in thousands	1,140,500	1,140,000	1,139,500	1,139,000	1,138,500	1,138,000	1,137,500	1,137,000	1,136,500	1,136,000	1,135,500	1,135,000	1,632,900	1,631,900	1,631,000	1,630,100	396,400	396,300	396,100	692,100
Total stockholders’ equity	US$ in thousands	2,450,300	2,571,900	2,369,200	2,441,000	2,430,500	2,467,800	2,255,600	2,364,100	2,536,000	2,722,900	2,862,800	2,717,700	2,604,400	2,692,000	2,544,100	2,555,500	2,693,100	3,116,500	2,913,600	3,012,800
Debt-to-capital ratio		0.32	0.31	0.32	0.32	0.32	0.32	0.34	0.32	0.31	0.29	0.28	0.29	0.39	0.38	0.39	0.39	0.13	0.11	0.12	0.19

March 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,140,500K ÷ ($1,140,500K + $2,450,300K)
= 0.32

The debt-to-capital ratio of Ralph Lauren Corp Class A has remained relatively stable over the past several quarters. As of March 31, 2024, the ratio stands at 0.32, which indicates that debt accounts for 32% of the company's total capital, while equity represents the remaining 68%.

Looking at the trend over the last few quarters, the ratio has fluctuated between 0.28 and 0.39, with some minor variations. It is worth noting that the ratio decreased from 0.39 in December 2020 to 0.11 in December 2019, showing a significant improvement in the company's leverage position. However, there was an uptick in the ratio in the following quarters, reaching 0.32 in the most recent period.

Overall, the debt-to-capital ratio suggests that Ralph Lauren Corp Class A maintains a moderate level of debt relative to its total capital structure. It is important for investors and analysts to continue monitoring this ratio along with other financial metrics to assess the company's financial health and risk exposure.