Amphenol Corporation (APH)
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 | 3,742,600 | 3,517,300 | 3,608,800 | 4,250,300 | 4,182,300 | 4,312,100 | 4,545,800 | 4,827,600 | 5,005,800 | 5,224,500 | 5,004,000 | 4,362,100 | 4,031,200 | 3,940,700 | 4,049,200 | 4,607,400 | 3,379,400 | 3,697,700 | 3,725,500 | 3,657,200 |
| Total stockholders’ equity | US$ in thousands | 8,346,500 | 7,856,800 | 7,513,700 | 7,308,100 | 7,015,600 | 6,570,900 | 6,464,300 | 6,426,100 | 6,302,000 | 5,945,900 | 5,715,500 | 5,461,000 | 5,384,900 | 5,040,200 | 4,738,600 | 4,385,800 | 4,530,300 | 4,155,300 | 4,148,300 | 4,123,100 |
| Debt-to-capital ratio | 0.31 | 0.31 | 0.32 | 0.37 | 0.37 | 0.40 | 0.41 | 0.43 | 0.44 | 0.47 | 0.47 | 0.44 | 0.43 | 0.44 | 0.46 | 0.51 | 0.43 | 0.47 | 0.47 | 0.47 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $3,742,600K ÷ ($3,742,600K + $8,346,500K)
= 0.31
The debt-to-capital ratio of Amphenol Corp. has been gradually decreasing over the past year, indicating an improving financial position in terms of debt levels relative to total capital employed. In Q1 2022, the ratio stood at 0.43, and has steadily declined to 0.34 in Q4 2023. This trend suggests that the company is relying less on debt financing and potentially increasing its equity or cash reserves. A lower debt-to-capital ratio generally indicates less financial risk and better debt management, as the company has a lower proportion of debt in its capital structure. Overall, the decreasing trend of the debt-to-capital ratio for Amphenol Corp. signals stronger financial stability and prudent capital management practices.