STERIS plc (STE)

Debt-to-assets ratio

		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	Sep 30, 2019	Jun 30, 2019
Long-term debt	US$ in thousands	3,120,160	3,231,080	3,366,240	2,860,120	3,018,660	3,001,580	2,873,940	2,846,450	2,945,480	3,175,320	3,421,510	3,256,710	1,650,540	1,713,200	1,020,550	1,022,160	1,150,520	1,136,960	1,187,200	1,210,000
Total assets	US$ in thousands	11,063,700	11,435,200	11,280,600	10,784,400	10,821,800	10,799,900	10,489,600	11,188,000	11,423,600	11,690,000	11,752,400	12,101,000	6,574,470	6,580,780	5,492,570	5,363,930	5,440,870	5,335,580	5,185,720	5,229,720
Debt-to-assets ratio		0.28	0.28	0.30	0.27	0.28	0.28	0.27	0.25	0.26	0.27	0.29	0.27	0.25	0.26	0.19	0.19	0.21	0.21	0.23	0.23

March 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $3,120,160K ÷ $11,063,700K
= 0.28

The debt-to-assets ratio of STERIS plc has shown consistency over the past few quarters, ranging between 0.25 and 0.30. This ratio indicates that the company finances a significant portion of its assets through debt, with an average of approximately 27% of assets being funded by debt. The stability of this ratio suggests that STERIS plc has been maintaining a relatively balanced capital structure, neither relying too heavily on debt nor being overly conservative in its leverage. It is important to note that a lower debt-to-assets ratio typically signifies lower financial risk, while a higher ratio may indicate higher leverage and associated risk. Overall, the trend in the company's debt-to-assets ratio does not show any concerning fluctuations, but continued monitoring of this metric is advisable to assess the company's financial health and risk management.