Blackbaud Inc (BLKB)

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	760,405	840,241	937,483	518,193	459,600
Total stockholders’ equity	US$ in thousands	808,705	744,032	717,060	426,150	396,764
Debt-to-capital ratio		0.48	0.53	0.57	0.55	0.54

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $760,405K ÷ ($760,405K + $808,705K)
= 0.48

The debt-to-capital ratio of Blackbaud Inc has been fluctuating over the past five years, ranging from 0.49 to 0.57. A decreasing trend is observed from 2021 to 2023, suggesting a lower reliance on debt financing relative to total capital. This may indicate improved financial stability and a reduced risk of financial distress. However, the ratio remains above 0.5 in each year, indicating that a significant portion of the company's capital structure is funded by debt. It is essential for investors to monitor this ratio closely to assess Blackbaud's ability to manage its debt obligations and potential financial risks associated with debt levels.