MSFT Debt Analysis

MICROSOFT CORPORATION - Total Debt & Leverage Ratios

Data as of 6/30/2025

Debt Health Rating

Excellent

Very low debt levels with strong coverage

Key Debt Metrics

Total Debt

$51.04B

Combined long & short-term

Debt-to-Equity

0.14x

Leverage ratio

Interest Coverage

12.93x

Op. income / interest

Debt Structure

Long-term Debt

Due after 1 year

$43.21B

Short-term Debt

Due within 1 year

$7.83B

Annual Interest Expense

Cost of debt per year

$2.94B

Net Debt

Total debt minus cash

$22.19B

Leverage Ratios

Debt-to-Assets

Total debt / Total assets

8.0%

Debt Service Coverage

Cash flow / Interest

15.35x

Debt Activity (Annual)

New Debt Issued

-

Debt Repaid

-

Net Change

-

Adding debt

Balance Sheet Context

Cash & Equivalents

$28.85B

Total Assets

$636.35B

Stockholders Equity

$363.08B

Operating Income

$37.96B

Operating Cash Flow

$45.06B

View Detailed Debt Analysis

Explore maturity schedules, corporate bonds, and risk analysis

View Full Debt Report

Frequently Asked Questions

What is MSFT total debt?

MSFT has total debt of $51.04B, consisting of $43.21B in long-term debt and $7.83B in short-term debt.

What is MSFT debt-to-equity ratio?

MSFT's debt-to-equity ratio is 0.14x. This indicates conservative leverage.

What is MSFT interest coverage ratio?

MSFT has an interest coverage ratio of 12.93x, meaning it generates 12.9 times its annual interest expense in operating income. This indicates strong ability to service debt.

Is MSFT debt level healthy?

MSFT has a debt health rating of "Excellent". Very low debt levels with strong coverage. The company has been adding to its debt.

How much is MSFT net debt?

MSFT's net debt (total debt minus cash) is $22.19B. This represents the actual debt burden after accounting for cash reserves.

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