The Chefs Warehouse Inc (CHEF)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 23, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 664,802 | 689,207 | 709,073 | 654,417 | 653,504 | 493,148 | 392,980 | 393,565 | 394,160 | 394,979 | 395,543 | 396,489 | 398,084 | 396,636 | 397,818 | 495,860 | 386,106 | 282,041 | 281,628 | 281,675 |
| Total stockholders’ equity | US$ in thousands | 454,672 | 434,782 | 422,975 | 405,952 | 401,509 | 384,949 | 373,687 | 354,425 | 350,211 | 339,066 | 333,049 | 328,016 | 344,590 | 378,008 | 387,317 | 319,617 | 335,933 | 322,601 | 317,395 | 308,423 |
| Debt-to-capital ratio | 0.59 | 0.61 | 0.63 | 0.62 | 0.62 | 0.56 | 0.51 | 0.53 | 0.53 | 0.54 | 0.54 | 0.55 | 0.54 | 0.51 | 0.51 | 0.61 | 0.53 | 0.47 | 0.47 | 0.48 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $664,802K ÷ ($664,802K + $454,672K)
= 0.59
The debt-to-capital ratio of The Chefs Warehouse Inc has exhibited some fluctuations over the past few quarters. The ratio has been relatively stable, ranging between 0.47 and 0.63. The trend shows an increase in the ratio from 0.47 in the first quarter of 2019 to a peak of 0.63 in the second quarter of 2023, before slightly decreasing to 0.59 by the end of 2023.
This indicates that the company's reliance on debt to finance its operations and investments has been gradually increasing. The upward trend in the debt-to-capital ratio may suggest that The Chefs Warehouse Inc is becoming more leveraged over time, potentially increasing its financial risk. However, it is essential to consider other financial ratios and factors to gain a comprehensive understanding of the company's overall financial health and solvency.
Peer comparison
Dec 31, 2023