CMS Energy Corporation (CMS)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 15,194,000 | 14,508,000 | 13,122,000 | 12,046,000 | 11,744,000 |
| Total stockholders’ equity | US$ in thousands | 8,230,000 | 7,544,000 | 7,015,000 | 6,631,000 | 5,496,000 |
| Debt-to-capital ratio | 0.65 | 0.66 | 0.65 | 0.64 | 0.68 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $15,194,000K ÷ ($15,194,000K + $8,230,000K)
= 0.65
The debt-to-capital ratio of CMS Energy Corporation has shown a relatively stable trend over the past five years, with values ranging from 0.64 to 0.68. This ratio indicates the proportion of the company's capital structure that is financed by debt, with higher values suggesting higher levels of debt relative to total capital.
The decreasing trend from 2020 to 2021 suggests a slight reduction in the company's reliance on debt financing compared to total capital. However, the subsequent increase in the ratio in 2022 and 2023 indicates a slight uptick in debt relative to capital. The ratio remained relatively stable at 0.65 in 2022 and 2024. Overall, CMS Energy Corporation's debt-to-capital ratio indicates a moderate level of debt utilization in its capital structure, which may have implications for its financial risk and leverage position.
Peer comparison
Dec 31, 2024