American States Water Company (AWR)

Debt-to-equity ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Long-term debt	US$ in thousands	640,382	575,555	446,547	412,176	440,348
Total stockholders’ equity	US$ in thousands	920,051	776,109	709,549	685,947	641,673
Debt-to-equity ratio		0.70	0.74	0.63	0.60	0.69

December 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $640,382K ÷ $920,051K
= 0.70

The debt-to-equity ratio of American States Water Company has exhibited fluctuations over the years, standing at 0.69 as of December 31, 2020, and decreasing to 0.60 by December 31, 2021. There was a slight increase to 0.63 by December 31, 2022, followed by a more significant rise to 0.74 by December 31, 2023. Subsequently, the ratio decreased to 0.70 by December 31, 2024. Overall, the company has maintained a moderate level of leverage, with the ratio hovering around 0.60 to 0.74 range during the period under review. It is important for investors and stakeholders to monitor these changes in the debt-to-equity ratio as it indicates the proportion of financing that comes from debt compared to equity, influencing the company's financial risk and stability.