Analysis of Debt
Total Debt (Carrying Amount)
Cintas Corp., balance sheet: debt
US$ in thousands
Based on: 10-K (reporting date: 2024-05-31), 10-K (reporting date: 2023-05-31), 10-K (reporting date: 2022-05-31), 10-K (reporting date: 2021-05-31), 10-K (reporting date: 2020-05-31), 10-K (reporting date: 2019-05-31).
The total debt (carrying amount) has exhibited a general trend of fluctuation with a net decrease over the six-year period ending May 31, 2024. From a peak of approximately US$ 2.85 billion in 2019, the total debt balance declined to US$ 2.48 billion by 2024, representing an overall reduction of approximately 13%.
- Total Debt Trajectory
- Total obligations decreased between 2019 and 2021, reaching a relative low of US$ 2.54 billion. A subsequent increase occurred in 2022, where total debt rose to US$ 2.79 billion, before trending downward again over the final two fiscal years to close at US$ 2.48 billion in 2024.
- Debt Composition and Maturity Structure
- The carrying amount is predominantly comprised of long-term obligations. Debt due after one year consistently represents the vast majority of the total debt, typically remaining above US$ 2 billion. Short-term obligations have shown significant volatility; for example, debt due within one year spiked to US$ 899 million in 2021, indicating a substantial portion of debt approaching maturity, while other periods showed negligible or zero short-term debt.
- Observation of Repayment and Refinancing Patterns
- The variance in debt due within one year suggests periodic shifts in maturity profiles, likely tied to the maturation of specific tranches or strategic refinancing activities. The overall stability of the total debt balance between 2020 and 2024, fluctuating within a range of approximately US$ 300 million, indicates a consistent approach to maintaining the company's capital leverage levels.
AI Ask an analyst for more
Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.
How can I help you?
Total Debt (Fair Value)
| May 31, 2024 | |
|---|---|
| Selected Financial Data (US$ in thousands) | |
| Total debt (fair value) | 2,392,800) |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | 0.97 |
Based on: 10-K (reporting date: 2024-05-31).
Weighted-average Interest Rate on Debt
Average interest rate for all Cintas debt: 4.00%
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| 4.00% | 2,475,529) | 99,021) | |
| Total | 2,475,529) | 99,021) | |
| 4.00% | |||
Based on: 10-K (reporting date: 2024-05-31).
1 US$ in thousands
2 Weighted-average interest rate = 100 × 99,021 ÷ 2,475,529 = 4.00%