Viavi Solutions Inc (VIAV)

Debt-to-equity ratio

		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	Sep 30, 2019
Long-term debt	US$ in thousands	636,000	634,400	632,800	631,100	629,500	—	617,200	—	616,500	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	681,600	705,100	728,000	675,200	690,800	682,300	687,800	648,400	671,700	709,900	774,800	858,600	763,900	749,800	733,600	681,000	633,200	676,900	764,300	708,100
Debt-to-equity ratio		0.93	0.90	0.87	0.93	0.91	0.00	0.90	0.00	0.92	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00

June 30, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $636,000K ÷ $681,600K
= 0.93

The debt-to-equity ratio of Viavi Solutions Inc has shown some fluctuations over the past few quarters, as seen in the data provided. In the most recent period, the ratio stood at 0.93, indicating that the company had a higher level of debt relative to equity. This suggests that Viavi Solutions Inc relies more on debt financing to support its operations and growth.

Looking at the trend over the past few quarters, the ratio has generally been above 0.90, indicating a consistent preference for debt financing. However, it is important to note that in some quarters, such as March 2023 and September 2022, the ratio dropped significantly, even reaching 0.00, which might be due to changes in the company's capital structure or significant debt repayments.

Overall, a higher debt-to-equity ratio can indicate higher financial risk for the company as it may face challenges in meeting its debt obligations, particularly in times of economic uncertainty. Investors and stakeholders should closely monitor Viavi Solutions Inc's debt levels and assess the company's ability to manage its debt effectively in order to ensure long-term financial stability and growth.