Simply Good Foods Co (SMPL)

Debt-to-equity 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 stockholders’ equity	US$ in thousands	1,647,480	1,607,180	1,571,100	1,530,820	1,491,920	1,463,360	1,438,660	1,437,320	1,401,050	1,209,610	1,188,800	1,168,410	1,160,140	1,183,310	1,139,330	1,173,730	1,123,410	1,072,410	712,868	753,732
Debt-to-equity ratio		0.14	0.17	0.18	0.21	0.24	0.27	0.28	0.28	0.30	0.35	0.38	0.43	0.47	0.48	0.52	0.53	0.56	0.59	0.27	0.25

February 24, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $237,641K ÷ $1,647,480K
= 0.14

The debt-to-equity ratio of Simply Good Foods Co has exhibited a fluctuating trend over the past several periods. Starting from 0.25 in May 2019, the ratio decreased to 0.27 in August 2019 and continued to decline to the lowest level of 0.14 in February 2024.

The company maintained a relatively stable ratio between August 2019 and August 2021, ranging from 0.27 to 0.30. However, from November 2021 onwards, there was a noticeable upward trend in the ratio, reaching 0.53 in May 2022 and peaking at 0.59 in November 2022.

Subsequently, there was a slight decrease in the ratio to 0.47 in February 2023, followed by a more significant decline to 0.14 in February 2024. This shift towards a lower debt-to-equity ratio may indicate a decrease in the company's reliance on debt financing and a strengthening of its financial position in terms of debt obligations relative to equity. Further analysis of the company's financial strategy and performance drivers would be necessary to fully understand the implications of this trend.