Chord Energy Corp (CHRD)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2019	Dec 31, 2018
Long-term debt	US$ in thousands	395,902	394,209	392,524	2,711,570	2,735,280
Total stockholders’ equity	US$ in thousands	5,076,620	4,679,800	1,032,900	3,636,140	3,734,580
Debt-to-capital ratio		0.07	0.08	0.28	0.43	0.42

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $395,902K ÷ ($395,902K + $5,076,620K)
= 0.07

The debt-to-capital ratio of Chord Energy Corp has shown a decreasing trend over the past three years, indicating a reduction in the company's reliance on debt to finance its operations relative to its total capital structure.

As of December 31, 2023, the debt-to-capital ratio stands at 0.07, down from 0.08 in the previous year and significantly lower than the ratio of 0.28 recorded as of December 31, 2021. This decline suggests that Chord Energy Corp has been able to decrease its debt levels or increase its equity capital relative to its total capital employed.

A lower debt-to-capital ratio is generally viewed favorably by investors, as it signifies a lower financial risk and a stronger financial position for the company. Chord Energy Corp's improving debt-to-capital ratio may indicate effective debt management and a healthier balance sheet compared to previous years. However, it is essential to consider other financial metrics and factors to gain a comprehensive understanding of the company's overall financial health and performance.