Belden Inc (BDC)
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 | 1,204,210 | 1,161,180 | 1,459,990 | 1,573,730 | 1,439,480 |
| Total stockholders’ equity | US$ in thousands | 1,166,260 | 1,143,010 | 955,287 | 750,581 | 959,847 |
| Debt-to-capital ratio | 0.51 | 0.50 | 0.60 | 0.68 | 0.60 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,204,210K ÷ ($1,204,210K + $1,166,260K)
= 0.51
The debt-to-capital ratio of Belden Inc has shown fluctuations over the past five years. In 2023, the ratio stands at 0.51, which indicates that 51% of the company's capital is financed through debt. Compared to the previous year, the ratio has slightly increased from 0.50 in 2022.
Looking back further, in 2021, the ratio was higher at 0.60, suggesting that 60% of capital was funded by debt. The ratio decreased from 2020 to 2021, reflecting a reduction in the proportion of debt in the capital structure. In 2020, the ratio was even higher at 0.68, which was the peak in the past five years. The company managed to bring down its debt levels relative to capital since then.
In 2019, the ratio was the same as in 2021 at 0.60, indicating a consistency in the debt-to-capital structure of the company during that period.
The trends in the debt-to-capital ratio reflect changes in the company's leverage and financing strategies over the years. A lower ratio indicates a lower reliance on debt for financing operations. Belden Inc's management may have adjusted their capital structure to optimize their financial position, with a potential focus on reducing debt levels in recent years.
Peer comparison
Dec 31, 2023