Woodward Inc (WWD)
Debt-to-assets ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 645,709 | 709,760 | 734,122 | 736,849 | 864,899 |
| Total assets | US$ in thousands | 4,010,200 | 3,806,450 | 4,091,000 | 3,903,340 | 3,956,530 |
| Debt-to-assets ratio | 0.16 | 0.19 | 0.18 | 0.19 | 0.22 |
September 30, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $645,709K ÷ $4,010,200K
= 0.16
The debt-to-assets ratio of Woodward Inc has exhibited a consistent downward trend over the past five years, decreasing from 0.27 in 2019 to 0.18 in 2023. This indicates that the company has been gradually reducing its reliance on debt to finance its assets. A lower ratio suggests a lower financial risk and a greater ability to cover its liabilities with its assets. This trend may signify that Woodward Inc has been managing its debt levels effectively and improving its financial position. However, it is important to consider the overall financial strategy of the company and its future growth plans to fully assess the implications of this trend.