Autoliv Inc (ALV)

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	1,324,000	1,277,000	1,290,000	1,601,000	1,054,000	1,037,000	1,060,000	1,647,000	1,662,000	1,687,000	1,712,000	2,039,000	2,110,000	2,007,100	2,567,000	2,209,400	1,726,100	1,815,100	1,850,200	1,598,100
Total stockholders’ equity	US$ in thousands	2,557,000	2,473,000	2,545,000	2,627,000	2,613,000	2,478,000	2,544,000	2,659,000	2,633,000	2,558,000	2,600,000	2,507,000	2,409,000	2,099,800	1,941,500	2,031,000	2,109,200	1,986,700	2,024,100	1,960,500
Debt-to-capital ratio		0.34	0.34	0.34	0.38	0.29	0.30	0.29	0.38	0.39	0.40	0.40	0.45	0.47	0.49	0.57	0.52	0.45	0.48	0.48	0.45

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,324,000K ÷ ($1,324,000K + $2,557,000K)
= 0.34

The debt-to-capital ratio of Autoliv Inc. has shown some fluctuations over the past eight quarters. In Q1 2022, the ratio was 0.43, which decreased to 0.39 in Q2 2022, indicating a lower level of debt relative to capital during that period. However, the ratio increased to 0.41 in Q3 2022 and remained relatively stable at 0.40 in Q4 2022.

In 2023, the debt-to-capital ratio increased to 0.45 in Q1 before decreasing to 0.41 in Q2. It further improved to 0.43 in Q3 before slightly declining to 0.42 in Q4 2023. Overall, the company's ratio has exhibited some variability but has generally maintained a level below 0.45, indicating a reasonable proportion of debt to total capital across the analyzed quarters. Reaching a peak in Q1 2023, the company managed to reduce its debt relative to capital over the following quarters, showcasing a somewhat prudent approach to managing its capital structure.