B&G Foods Inc (BGS)
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 | 2,014,820 | 2,023,090 | 2,339,050 | 2,267,760 | 2,334,090 |
Total stockholders’ equity | US$ in thousands | 524,807 | 835,463 | 868,166 | 920,254 | 831,877 |
Debt-to-equity ratio | 3.84 | 2.42 | 2.69 | 2.46 | 2.81 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,014,820K ÷ $524,807K
= 3.84
B&G Foods Inc's debt-to-equity ratio has fluctuated over the past five years. As of December 31, 2020, the ratio stood at 2.81, indicating that the company had $2.81 in debt for every $1 of equity. By the end of 2021, the ratio decreased to 2.46, suggesting a slight improvement in the company's debt levels relative to its equity. However, in the subsequent years, the ratio increased to 2.69 in 2022 and then decreased again to 2.42 in 2023, showcasing some variability in the company's capital structure and its ability to utilize debt as a source of funding.
The most notable change occurred by the end of 2024, where the debt-to-equity ratio spiked to 3.84, signifying a significant increase in the company's reliance on debt compared to equity. This sharp rise could indicate a strategic shift towards leveraging debt for growth opportunities or potential financial challenges that necessitated increased borrowing.
Overall, the trend in B&G Foods Inc's debt-to-equity ratio reflects a mix of periods with decreasing and increasing leverage levels, highlighting the importance of closely monitoring the company's financial leverage and its impact on long-term financial health and stability.
Peer comparison
Dec 31, 2024