Avient Corp (AVNT)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	2,070,500	2,176,700	1,850,300	1,854,000	1,210,900
Total stockholders’ equity	US$ in thousands	2,319,200	2,334,500	1,774,700	1,697,100	1,051,900
Debt-to-capital ratio		0.47	0.48	0.51	0.52	0.54

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $2,070,500K ÷ ($2,070,500K + $2,319,200K)
= 0.47

The debt-to-capital ratio of Avient Corp has shown a decreasing trend over the past five years, indicating a positive sign of reducing reliance on debt financing compared to equity. As of December 31, 2023, the ratio stands at 0.47, which means that 47% of the company's capital is financed through debt. This suggests a relatively conservative approach to leverage, which can be beneficial in terms of financial stability and risk management. Overall, the decreasing trend in the debt-to-capital ratio reflects a potential strengthening of Avient Corp's financial position and a prudent capital structure management strategy.