Atmos Energy Corporation (ATO)

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	6,963,110	5,402,590	5,760,040	5,879,820	7,856,150	6,918,840	7,340,180	7,949,540	8,653,660	8,086,140	8,101,740	7,828,420	6,294,670	5,597,180	5,563,300	4,863,850	4,927,760	3,529,450	3,529,140	3,528,710
Total stockholders’ equity	US$ in thousands	11,273,200	10,870,100	10,602,400	10,205,200	9,836,270	9,419,090	9,268,170	8,983,230	8,289,540	7,906,890	7,773,760	7,820,920	7,213,160	6,791,200	6,461,470	6,304,420	6,127,780	5,750,220	5,642,000	5,508,100
Debt-to-capital ratio		0.38	0.33	0.35	0.37	0.44	0.42	0.44	0.47	0.51	0.51	0.51	0.50	0.47	0.45	0.46	0.44	0.45	0.38	0.38	0.39

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $6,963,110K ÷ ($6,963,110K + $11,273,200K)
= 0.38

The debt-to-capital ratio of Atmos Energy Corp. has remained relatively stable over the past eight quarters, ranging from 0.39 to 0.47. This ratio indicates the proportion of the company's capital structure that is financed by debt. A lower ratio suggests lower financial risk and reliance on debt for funding operations, while a higher ratio may indicate higher leverage and potential financial risk.

In the most recent quarter, Q1 2024, the debt-to-capital ratio was 0.40, which is slightly higher compared to the previous quarter but still within the historical range. This suggests that Atmos Energy Corp. continues to maintain a moderate level of debt in its capital structure. Analyzing trends in the debt-to-capital ratio over time can provide insights into the company's financial management and risk profile.