Vista Outdoor Inc (VSTO)
Debt-to-capital ratio
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 717,238 | 984,658 | 666,114 | 495,564 | 511,806 |
| Total stockholders’ equity | US$ in thousands | 1,126,300 | 1,131,790 | 1,124,400 | 736,997 | 442,505 |
| Debt-to-capital ratio | 0.39 | 0.47 | 0.37 | 0.40 | 0.54 |
March 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $717,238K ÷ ($717,238K + $1,126,300K)
= 0.39
The debt-to-capital ratio of Vista Outdoor Inc has fluctuated over the past five years. The ratio decreased from 0.54 in March 2020 to 0.37 in March 2022, indicating a decrease in the proportion of debt to total capital during this period. However, in the subsequent years, the ratio increased to 0.40 in March 2021 and then slightly to 0.47 in March 2023.
As of March 31, 2024, the debt-to-capital ratio stands at 0.39, which is lower compared to the previous year but still higher than the ratio observed in March 2022. This suggests that Vista Outdoor Inc is utilizing a moderate level of debt financing relative to its total capital structure, with approximately 39% of its total capital being funded through debt.
Overall, the trend in Vista Outdoor Inc's debt-to-capital ratio indicates some fluctuations in the company's debt management, highlighting the importance of closely monitoring the levels of debt in relation to its capital structure for maintaining a healthy financial position.
Peer comparison
Mar 31, 2024