Sonos Inc (SONO)
Debt-to-equity ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | 0 | 18,251 | 24,840 |
| Total stockholders’ equity | US$ in thousands | 518,657 | 560,513 | 569,042 | 297,839 | 280,928 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.06 | 0.09 |
September 30, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $—K ÷ $518,657K
= 0.00
The debt-to-equity ratio of Sonos Inc has been consistently low over the past five years, indicating a conservative capital structure with minimal reliance on debt financing. The ratio has decreased from 0.12 in 2019 to 0.08 in 2020, and further to 0.00 in subsequent years, suggesting a declining level of debt relative to equity. This indicates that the company has a strong equity position and is less leveraged, which may imply lower financial risk and greater financial stability. However, it's essential to consider the overall financial strategy and capital allocation of the company in conjunction with this ratio when assessing its financial health.
Peer comparison
Sep 30, 2023