Workday Inc (WDAY)

Debt-to-capital ratio

		Jan 31, 2025	Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021
Long-term debt	US$ in thousands	2,984,000	2,980,000	2,976,000	617,354	691,913
Total stockholders’ equity	US$ in thousands	9,034,000	8,082,000	5,585,000	4,535,080	3,277,830
Debt-to-capital ratio		0.25	0.27	0.35	0.12	0.17

January 31, 2025 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $2,984,000K ÷ ($2,984,000K + $9,034,000K)
= 0.25

The debt-to-capital ratio for Workday Inc has shown fluctuating trends over the past five years. In January 31, 2021, the ratio was 0.17, indicating that 17% of the company's capital was being financed through debt. By January 31, 2022, the ratio decreased to 0.12, suggesting a lower reliance on debt financing. However, in January 31, 2023, the ratio spiked to 0.35, signaling a significant increase in debt relative to the company's capital structure. In the subsequent years, the ratio declined to 0.27 in January 31, 2024, and further to 0.25 in January 31, 2025, indicating a slight improvement in the company's debt-to-capital position. Overall, the company's debt-to-capital ratio has displayed variability, warranting a closer examination of its debt management strategies and capital structure decisions.