American Electric Power Company Inc (AEP)

Debt-to-capital 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	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Long-term debt	US$ in thousands	37,652,700	36,715,500	36,762,000	36,239,100	34,314,600	33,646,600	32,982,700	30,855,700	31,300,700	32,056,500	30,659,300	30,214,800	28,986,400	28,155,500	26,637,700	25,783,000	25,126,800	24,553,500	24,174,400	22,898,200
Total stockholders’ equity	US$ in thousands	25,246,700	25,309,700	23,901,400	23,738,200	23,893,400	24,278,200	24,056,000	23,791,300	22,433,200	22,278,100	21,378,700	20,972,800	20,550,900	20,365,900	20,007,400	19,728,400	19,632,200	19,716,400	19,259,600	19,196,300
Debt-to-capital ratio		0.60	0.59	0.61	0.60	0.59	0.58	0.58	0.56	0.58	0.59	0.59	0.59	0.59	0.58	0.57	0.57	0.56	0.55	0.56	0.54

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $37,652,700K ÷ ($37,652,700K + $25,246,700K)
= 0.60

The debt-to-capital ratio of American Electric Power Company Inc. has shown slight fluctuations over the past eight quarters, ranging from 0.61 to 0.65. This ratio represents the proportion of the company's total debt in relation to its total capital, including both debt and equity.

The average debt-to-capital ratio during this period appears to be around 0.62, demonstrating the company's consistent reliance on debt financing as a component of its capital structure.

While the variations in the ratio are relatively modest, it suggests that the company has been managing its debt levels in a stable manner, with no significant spikes or dips over the quarters analyzed.

Overall, the debt-to-capital ratio provides insight into American Electric Power Company Inc.'s leverage position and its ability to meet financial obligations, highlighting the balance between debt and equity in the company's capital structure.