Toro Co (TTC)
Debt-to-assets ratio
| Feb 2, 2024 | Oct 31, 2023 | Aug 4, 2023 | Feb 3, 2023 | Oct 31, 2022 | Jul 29, 2022 | Apr 29, 2022 | Jan 28, 2022 | Oct 31, 2021 | Jul 30, 2021 | Apr 30, 2021 | Jan 29, 2021 | Oct 31, 2020 | Jul 31, 2020 | May 1, 2020 | Jan 31, 2020 | Oct 31, 2019 | Aug 2, 2019 | May 3, 2019 | Feb 1, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,179,800 | 1,031,500 | 1,061,310 | 1,091,000 | 990,800 | 990,616 | 990,970 | 991,354 | 691,242 | 587,345 | 591,496 | 691,356 | 691,250 | 782,036 | 790,908 | 601,016 | 620,899 | 620,804 | 721,079 | 312,551 |
| Total assets | US$ in thousands | 3,801,100 | 3,644,300 | 3,585,890 | 3,654,900 | 3,556,000 | 3,439,950 | 3,479,310 | 3,253,040 | 2,936,140 | 2,968,050 | 2,996,110 | 2,875,140 | 2,853,230 | 2,813,860 | 2,811,480 | 2,491,610 | 2,330,550 | 2,309,730 | 2,466,000 | 1,622,810 |
| Debt-to-assets ratio | 0.31 | 0.28 | 0.30 | 0.30 | 0.28 | 0.29 | 0.28 | 0.30 | 0.24 | 0.20 | 0.20 | 0.24 | 0.24 | 0.28 | 0.28 | 0.24 | 0.27 | 0.27 | 0.29 | 0.19 |
February 2, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,179,800K ÷ $3,801,100K
= 0.31
The debt-to-assets ratio of Toro Co. has been relatively stable over the past eight quarters, ranging from 0.28 to 0.31. This ratio measures the proportion of the company's assets that are financed through debt. A ratio of 0.31 in Q1 2024 indicates that for every $1 of assets the company owns, it has $0.31 in debt.
A ratio below 0.5 is generally considered healthy, as it suggests that the company is not overly reliant on debt to finance its operations. Toro Co.'s debt-to-assets ratios fall within this range, indicating a conservative approach to financing its assets. Consistency in the ratio over time suggests that Toro Co. has maintained a stable capital structure and has not significantly increased its debt levels relative to its assets.
Overall, the trend in Toro Co.'s debt-to-assets ratio reflects a balanced mix of debt and equity financing, indicating a financially sound position with manageable debt levels.