The a2 Milk Co (ASX:A2M) LT-Debt-to-Total-Asset: 0.01 (As of Dec. 2025)


ASX:A2M The a2 Milk Co Ltd ASX:A2M
82 GF Score
Price A$7.62
GF Value A$6.62
Valuation Modestly Overvalued
! 3 Warning Signs
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What is The a2 Milk Co LT-Debt-to-Total-Asset?

The a2 Milk Co ASX:A2M +2.42% 82 LT-Debt-to-Total-Asset is 0.01 as of Dec. 2025. GuruFocus rates ASX:A2M with a GF Score™ of 82/100 and a GF Value™ of A$6.62 (Modestly Overvalued). The stock has 3 warning signs investors should review.

LT Debt to Total Assets is a measurement representing the percentage of a corporation's assets that are financed with loans and financial obligations lasting more than one year. The ratio provides a general measure of the financial position of a company, including its ability to meet financial requirements for outstanding loans. It is calculated as a company's Long-Term Debt & Capital Lease Obligationdivide by its Total Assets. The a2 Milk Co's long-term debt to total assests ratio for the quarter that ended in Dec. 2025 was 0.01.

The a2 Milk Co's long-term debt to total assets ratio declined from Dec. 2024 (0.03) to Dec. 2025 (0.01). It may suggest that The a2 Milk Co is progressively becoming less dependent on debt to grow their business.

The a2 Milk Co  (ASX:A2M) LT-Debt-to-Total-Asset Explanation

LT Debt to Total Asset is a measurement representing the percentage of a corporation's assets that are financed with loans and financial obligations lasting more than one year. The ratio provides a general measure of the financial position of a company, including its ability to meet financial requirements for outstanding loans. A year-over-year decrease in this metric would suggest the company is progressively becoming less dependent on debt to grow their business.

The a2 Milk Co LT-Debt-to-Total-Asset Related Terms

The a2 Milk Co LT-Debt-to-Total-Asset Historical Data

* Premium members only.

The historical data trend for The a2 Milk Co's LT-Debt-to-Total-Asset can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

The a2 Milk Co LT-Debt-to-Total-Asset Chart

The a2 Milk Co Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
LT-Debt-to-Total-Asset
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.01 0.05 0.05 0.04 0.03

The a2 Milk Co Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
LT-Debt-to-Total-Asset Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.03 0.04 0.03 0.03 0.01
ASX:A2M
82GF Score
The a2 Milk Co Ltd ASX:A2M
LT-Debt-to-Total-Asset is just one metric. See GF Score™, valuation, warning signs, and more.
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The a2 Milk Co LT-Debt-to-Total-Asset Calculation

The a2 Milk Co's Long-Term Debt to Total Asset Ratio for the fiscal year that ended in Jun. 2025 is calculated as

LT Debt to Total Assets (A: Jun. 2025 )=Long-Term Debt & Capital Lease Obligation (A: Jun. 2025 )/Total Assets (A: Jun. 2025 )
=52.251/1800.291
=0.03

The a2 Milk Co's Long-Term Debt to Total Asset Ratio for the quarter that ended in Dec. 2025 is calculated as

LT Debt to Total Assets (Q: Dec. 2025 )=Long-Term Debt & Capital Lease Obligation (Q: Dec. 2025 )/Total Assets (Q: Dec. 2025 )
=12.732/1607.086
=0.01

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about LT-Debt-to-Total-Asset →
What does a LT-Debt-to-Total-Asset of 0.01 mean?
The a2 Milk Co (ASX:A2M) has a LT-Debt-to-Total-Asset of 0.01 as of Dec. 2025. Long-term Debt to Total Asset ratio is the ratio of total long-term debt to total assets. View historical data on The a2 Milk Co and its competitors.
Is The a2 Milk Co's LT-Debt-to-Total-Asset too high?
The a2 Milk Co's current LT-Debt-to-Total-Asset is 0.01. Overall, The a2 Milk Co has a GF Score™ of 82/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does The a2 Milk Co's LT-Debt-to-Total-Asset compare to KHC and GIS?
The a2 Milk Co's LT-Debt-to-Total-Asset of 0.01 can be compared against companies in the Consumer Packaged Goods industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good LT-Debt-to-Total-Asset for a Consumer Packaged Goods company?
A good LT-Debt-to-Total-Asset depends on the Consumer Packaged Goods industry context. However, LT-Debt-to-Total-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high LT-Debt-to-Total-Asset mean?
A high LT-Debt-to-Total-Asset can signal that a stock is expensive relative to its fundamentals. Long-term Debt to Total Asset ratio is the ratio of total long-term debt to total assets. View historical data on The a2 Milk Co and its competitors. The a2 Milk Co's current LT-Debt-to-Total-Asset is 0.01. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The a2 Milk Co stock overvalued right now?
Based on GuruFocus' analysis, The a2 Milk Co (ASX:A2M) is currently considered Modestly Overvalued. The stock's GF Value™ is A$6.62, compared to a current price of A$7.62 — trading 15.1% above its estimated fair value. The current LT-Debt-to-Total-Asset is 0.01. The a2 Milk Co's overall GF Score™ is 82/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is LT-Debt-to-Total-Asset calculated?
LT-Debt-to-Total-Asset is calculated from a company's financial statements. For The a2 Milk Co (ASX:A2M), the current LT-Debt-to-Total-Asset is 0.01 as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is The a2 Milk Co (ASX:A2M) Overvalued in 2026?

Based on GuruFocus' analysis, The a2 Milk Co stock appears to be overvalued. The current stock price of A$7.62 is trading 15.1% above its estimated GF Value™ of A$6.62. GuruFocus considers The a2 Milk Co to be Modestly Overvalued.

Key valuation signals for ASX:A2M:

  • LT-Debt-to-Total-Asset: 0.01
  • GF Value™: A$6.62 vs. price of A$7.62 (15.1% above fair value)
  • GF Score™: 82/100 with 3 warning signs

No single metric tells the full story. See the ASX:A2M stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

The a2 Milk Co Business Description

Address 51 Shortland Street, Level 10, Auckland, NTL, NZL, 1010
A2 Milk is a New Zealand licensor and marketer of fresh milk, infant formula, and other dairy products that lack the A1 beta-casein protein. The firm was founded in 2000 by Corran McLachlan, who developed a genetic test to determine which proteins a cow produces in its milk, and business partner Howard Paterson. The company has been through a tumultuous history of receivership, legal battles, and strategic shifts, but emerged in its current structure in 2006 and listed publicly in March 2013.
82GF Score

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LT-Debt-to-Total-Asset is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

A$7.62
Price
A$6.62
GF Value