Signet Jewelers Ltd (SIG)
Debt-to-capital ratio
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 0 | 147,400 | 147,100 | 146,700 | 515,900 |
| Total stockholders’ equity | US$ in thousands | 2,166,500 | 1,578,600 | 1,564,000 | 1,190,300 | 1,222,600 |
| Debt-to-capital ratio | 0.00 | 0.09 | 0.09 | 0.11 | 0.30 |
February 3, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $0K ÷ ($0K + $2,166,500K)
= 0.00
The debt-to-capital ratio of Signet Jewelers Ltd has exhibited a decreasing trend over the past five years. As of February 3, 2024, the company's debt-to-capital ratio stood at 0.00, indicating that the company had no debt in relation to its capital structure.
In the previous years, the debt-to-capital ratio was 0.09 as of both January 28, 2023, and January 29, 2022, showing a consistent level of debt relative to the company's capital. However, there was a slight increase in the ratio to 0.11 as of January 30, 2021, before a significant jump to 0.30 as of February 1, 2020.
The decreasing trend in Signet Jewelers' debt-to-capital ratio suggests that the company has been reducing its reliance on debt to finance its operations or investments. This could indicate a strengthening financial position and lower financial risk for the company. However, it is essential to further analyze the company's overall financial health and performance in conjunction with other financial ratios to gain a more comprehensive understanding of its financial stability.