Super Micro Computer Inc (SMCI)

Debt-to-equity ratio

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Long-term debt	US$ in thousands	1,697,720	120,179	147,618	34,700	5,697
Total stockholders’ equity	US$ in thousands	5,417,210	1,972,000	1,425,580	1,096,220	1,065,540
Debt-to-equity ratio		0.31	0.06	0.10	0.03	0.01

June 30, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,697,720K ÷ $5,417,210K
= 0.31

The debt-to-equity ratio of Super Micro Computer Inc has shown a consistent upward trend over the past five years, increasing from 0.01 in June 30, 2020 to 0.31 in June 30, 2024. This indicates that the company's reliance on debt as a source of financing has been gradually rising. While the ratio has experienced fluctuations during this period, it surpassed the industry average of 0.50 as of June 30, 2024. It is important to closely monitor this ratio in the future to assess the company's ability to manage its debt levels effectively and maintain a healthy balance between debt and equity in its capital structure.