Rockwell Automation Inc (ROK)
Debt-to-assets ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 2,561,300 | 2,862,900 | 2,867,800 | 3,464,600 | 1,974,700 |
| Total assets | US$ in thousands | 11,232,100 | 11,304,000 | 10,758,700 | 10,701,600 | 7,264,700 |
| Debt-to-assets ratio | 0.23 | 0.25 | 0.27 | 0.32 | 0.27 |
September 30, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,561,300K ÷ $11,232,100K
= 0.23
The debt-to-assets ratio of Rockwell Automation Inc has shown a downward trend over the past five years, decreasing from 0.27 in 2020 to 0.23 in 2024. This indicates that the company has been able to reduce its reliance on debt financing relative to its total assets over the period, which is a positive sign for investors and creditors. A lower debt-to-assets ratio suggests a stronger financial position and lower risk of financial distress. The decreasing trend in the ratio implies that Rockwell Automation Inc has been steadily improving its financial health by either paying down debt, increasing its assets, or a combination of both. Overall, the declining debt-to-assets ratio reflects a prudent approach to managing debt and optimizing asset utilization by the company.
Peer comparison
Sep 30, 2024