Alkermes Plc (ALKS)

Debt-to-capital ratio

		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	Sep 30, 2019
Long-term debt	US$ in thousands	286,459	287,095	287,730	288,366	289,001	289,635	290,270	290,904	291,537	292,171	292,804	293,437	294,070	294,702	272,118	272,663	273,207	273,751	274,295	274,838
Total stockholders’ equity	US$ in thousands	1,284,000	1,254,760	1,202,690	1,355,580	1,280,440	1,005,580	1,043,750	1,042,850	1,082,320	1,075,390	1,112,580	1,096,170	1,097,900	1,051,160	1,066,980	1,084,360	1,061,850	1,063,020	1,085,440	1,068,180
Debt-to-capital ratio		0.18	0.19	0.19	0.18	0.18	0.22	0.22	0.22	0.21	0.21	0.21	0.21	0.21	0.22	0.20	0.20	0.20	0.20	0.20	0.20

June 30, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $286,459K ÷ ($286,459K + $1,284,000K)
= 0.18

The debt-to-capital ratio of Alkermes Plc has shown relatively stable trends over the past few quarters, ranging between 0.18 and 0.22. This ratio indicates the proportion of a company's capital that is financed by debt, with values closer to 0 indicating lower reliance on debt for financing.

Based on the data provided, Alkermes Plc's debt-to-capital ratio has generally remained below 0.22, which suggests that the company relies more on equity capital rather than debt to fund its operations and growth. This lower ratio may indicate a conservative approach to leverage, which can be perceived positively by investors and creditors as it signifies lower financial risk.

Overall, the trend in Alkermes Plc's debt-to-capital ratio indicates a stable and well-balanced capital structure, with a moderate level of debt relative to its total capital. It is important for investors and stakeholders to monitor this ratio over time to assess the company's financial health and risk profile.