ADEIA CORP (ADEA)

Debt-to-equity ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Long-term debt	US$ in thousands	519,550	619,580	729,392	795,661
Total stockholders’ equity	US$ in thousands	356,622	301,412	1,349,630	1,456,880
Debt-to-equity ratio		1.46	2.06	0.54	0.55

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $519,550K ÷ $356,622K
= 1.46

The debt-to-equity ratio of ADEIA CORP has fluctuated over the past four years. In 2023, the ratio stands at 1.46, representing a decrease from the previous year's ratio of 2.06. This decrease indicates a reduction in the company's reliance on debt financing relative to equity. Comparing to the ratios of 0.54 and 0.55 in 2021 and 2020 respectively, it is evident that the company's leverage position has increased significantly in 2022 but has since improved in 2023. The company's management may have taken steps to reduce debt levels or increase equity capitalization, which could enhance the company's financial stability and creditworthiness. Monitoring this ratio over time can provide insights into ADEIA CORP's financial health and risk management strategies.