ADEIA CORP (ADEA)

Debt-to-equity ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020
Long-term debt	US$ in thousands	519,550	576,781	591,482	610,594	619,580	752,170	711,259	720,333	729,392	738,438	747,469	784,666	795,661	956,530	967,471
Total stockholders’ equity	US$ in thousands	356,622	343,825	323,021	322,614	301,412	992,387	1,367,240	1,364,820	1,349,630	1,379,730	1,441,540	1,443,390	1,456,880	1,290,570	1,353,310
Debt-to-equity ratio		1.46	1.68	1.83	1.89	2.06	0.76	0.52	0.53	0.54	0.54	0.52	0.54	0.55	0.74	0.71

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 shown fluctuations over the past few quarters. The trend indicates an increase in leverage from the end of 2020 to the beginning of 2023, with the ratio peaking at 2.06 in December 2022. Subsequently, there was a notable decline in the ratio in the following quarters, reaching the lowest point of 0.52 in June 2022.

Since then, the debt-to-equity ratio has been gradually increasing, signifying a rise in debt relative to equity. The ratio stood at 1.46 as of December 2023, reflecting a higher proportion of debt in the company's capital structure compared to equity. It is important for stakeholders to monitor this ratio closely to assess the company's financial risk and stability, as higher levels of leverage can indicate increased financial risk and potential challenges in meeting debt obligations.