ADMA Biologics Inc (ADMA)

Debt-to-equity ratio

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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	Mar 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	101,326	131,074	130,847	130,594	142,026	140,312	144,301	142,833	141,366	139,811	138,423	94,866	94,363	93,877	93,413	92,969	97,044	96,574	96,129	68,291
Total stockholders’ equity	US$ in thousands	231,890	188,269	153,706	135,206	151,437	146,762	145,655	151,974	100,385	114,401	126,933	141,173	102,780	111,594	112,504	88,249	71,376	76,879	96,336	26,193
Debt-to-equity ratio		0.44	0.70	0.85	0.97	0.94	0.96	0.99	0.94	1.41	1.22	1.09	0.67	0.92	0.84	0.83	1.05	1.36	1.26	1.00	2.61

September 30, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $101,326K ÷ $231,890K
= 0.44

The debt-to-equity ratio of ADMA Biologics Inc has fluctuated over the past few years, indicating varying levels of leverage used by the company to finance its operations.

As of September 30, 2024, the debt-to-equity ratio stands at 0.44, indicating that the company has a lower level of financial leverage compared to its equity. This suggests a more conservative financing structure, with a larger portion of the company's assets being financed through equity rather than debt.

Looking at historical data, the trend in the debt-to-equity ratio shows some volatility. The ratio has ranged from a low of 0.44 to a high of 2.61 over the past few years. A ratio below 1.0 generally indicates that the company is primarily financed by equity, while a ratio above 1.0 suggests a higher reliance on debt for financing.

It is worth noting that the ratio was relatively high in the past, reaching its peak at 2.61 by the end of 2019. This could signify increased debt levels relative to equity during that period, potentially indicating higher financial risk for the company.

Overall, the decreasing trend in the debt-to-equity ratio from the previous peak of 2.61 to the current level of 0.44 suggests that ADMA Biologics Inc has made efforts to reduce its debt levels in relation to equity, which may have positive implications for its financial stability and risk management.