Simply Good Foods Co (SMPL)

Debt-to-assets ratio

		Feb 24, 2024	Nov 25, 2023	Aug 26, 2023	May 27, 2023	Feb 25, 2023	Nov 26, 2022	Aug 27, 2022	May 28, 2022	Feb 26, 2022	Nov 27, 2021	Aug 28, 2021	May 29, 2021	Feb 27, 2021	Nov 28, 2020	Aug 29, 2020	May 30, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 25, 2019
Long-term debt	US$ in thousands	237,641	272,032	281,649	320,900	362,622	396,994	403,022	402,594	426,916	427,017	451,269	500,154	548,884	572,923	596,879	624,752	624,076	638,034	190,259	190,429
Total assets	US$ in thousands	2,147,570	2,115,060	2,097,080	2,080,000	2,088,680	2,093,060	2,094,250	2,114,660	2,087,900	2,043,340	2,052,220	2,039,120	2,021,520	2,015,220	2,008,440	2,040,140	2,001,350	2,016,060	1,141,650	1,124,610
Debt-to-assets ratio		0.11	0.13	0.13	0.15	0.17	0.19	0.19	0.19	0.20	0.21	0.22	0.25	0.27	0.28	0.30	0.31	0.31	0.32	0.17	0.17

February 24, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $237,641K ÷ $2,147,570K
= 0.11

The debt-to-assets ratio of Simply Good Foods Co has exhibited a fluctuating trend over the past few years. The ratio has generally been increasing since May 2019, indicating a rising level of debt in relation to the company's total assets.

From May 2019 to May 2021, the ratio increased steadily from 0.17 to 0.27, a significant rise over this period. Subsequently, from May 2021 to Feb 24, 2024, the ratio continued to increase, reaching the highest point of 0.32 as of Feb 24, 2024.

This trend suggests that Simply Good Foods Co has been taking on more debt relative to its asset base, which could indicate an increase in financial leverage and potential risk. It is important for the company to closely monitor and manage its debt levels to maintain a healthy balance sheet and financial stability.