Amphastar P (AMPH)

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	613,532	603,174	76,642	78,185	45,923
Total stockholders’ equity	US$ in thousands	732,298	639,421	528,658	445,522	402,306
Debt-to-capital ratio		0.46	0.49	0.13	0.15	0.10

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $613,532K ÷ ($613,532K + $732,298K)
= 0.46

The debt-to-capital ratio of Amphastar P has shown fluctuations over the period from December 31, 2020, to December 31, 2024. The ratio increased from 0.10 in 2020 to 0.15 in 2021, and then decreased slightly to 0.13 in 2022. However, there was a significant jump in the ratio to 0.49 in 2023, indicating a substantial increase in debt relative to the company's capital. This spike could be a cause for concern as it suggests a higher reliance on debt financing. The ratio improved slightly to 0.46 in 2024, but it still remains elevated compared to the earlier years. Overall, the trend in the debt-to-capital ratio signals a mix of higher debt levels relative to capital in recent years, which may warrant closer attention to the company's debt management strategies and financial stability.