Sonos Inc (SONO)
Debt-to-capital ratio
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | 0 | 0 | 0 | 0 | 18,251 | 19,897 | 21,545 | 23,192 |
| Total stockholders’ equity | US$ in thousands | 428,620 | 464,391 | 494,004 | 594,409 | 518,657 | 590,210 | 612,914 | 633,354 | 560,513 | 642,736 | 671,684 | 679,607 | 569,042 | 587,127 | 579,268 | 510,209 | 297,839 | 261,199 | 299,804 | 367,279 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.06 | 0.07 | 0.07 | 0.06 |
September 30, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $428,620K)
= 0.00
The debt-to-capital ratio of Sonos Inc has remained relatively stable and low over the past few years, fluctuating between 0.00 to 0.07. This indicates that the company has been financing its operations primarily through equity rather than debt. A lower debt-to-capital ratio suggests lower financial risk as the company has less dependency on debt financing.
It is important to note that a debt-to-capital ratio of 0.00 does not necessarily mean that the company has zero debt, but rather that its debt level is negligible compared to its total capital. The slight increase in the ratio from 0.00 to 0.07 in the most recent quarter may indicate a slight shift towards using debt as a source of financing, although it still remains at a relatively low level.
Overall, Sonos Inc's consistent low debt-to-capital ratio suggests a conservative financial approach and a solid capital structure that may provide financial stability and flexibility in the long term.
Peer comparison
Sep 30, 2024