The AES Corporation (AES)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 3,644,000 | 2,488,000 | 2,437,000 | 2,798,000 | 2,634,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $3,644,000K)
= 0.00
The debt-to-capital ratio for The AES Corporation has remained consistently at 0.00 from December 31, 2020, to December 31, 2024. This indicates that the company has been utilizing a capital structure with minimal debt relative to its total capital. A debt-to-capital ratio of 0.00 typically suggests that the company's capital is predominantly funded by equity rather than debt, indicating a lower financial risk associated with debt obligations. This stability in the debt-to-capital ratio over the years reflects a conservative approach to financial leverage and a strong financial position, which may be advantageous in terms of financial flexibility and resilience to economic uncertainties.