Woodward Inc (WWD)
Debt-to-equity 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 stockholders’ equity | US$ in thousands | 2,070,990 | 1,901,120 | 2,214,780 | 1,992,680 | 1,726,740 |
| Debt-to-equity ratio | 0.31 | 0.37 | 0.33 | 0.37 | 0.50 |
September 30, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $645,709K ÷ $2,070,990K
= 0.31
The debt-to-equity ratio for Woodward Inc has exhibited some fluctuation over the past five years. In 2023, the ratio stands at 0.35, indicating a decrease from the previous year. This signifies that the company is relying less on debt and has a stronger equity position compared to the prior year. The trend over the years suggests that Woodward Inc has been effectively managing its debt and equity structure, with a downward trend since 2019. A lower debt-to-equity ratio generally indicates lower financial risk and a more favorable financing structure. It appears that Woodward Inc has been successful in maintaining a healthy balance between debt and equity in its capital structure.