CONMED Corporation (CNMD)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 780,689 | 796,148 | 803,555 |
| Total stockholders’ equity | US$ in thousands | 834,222 | 796,205 | 780,194 | 752,453 | 745,545 | 716,337 | 672,968 | 789,546 | 785,435 | 755,683 | 744,499 | 725,570 | 709,038 | 683,141 | 674,898 | 701,635 | 710,467 | 700,922 | 697,009 | 693,057 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.53 | 0.53 | 0.54 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $834,222K)
= 0.00
The debt-to-capital ratio of Conmed Corp. has fluctuated over the past eight quarters, ranging from 0.48 to 0.59. This ratio indicates the extent to which the company relies on debt financing as opposed to equity financing.
The increasing trend in the debt-to-capital ratio from Q1 2022 to Q1 2023 suggests an increasing reliance on debt to finance its operations and growth initiatives. However, it is worth noting that the ratio decreased slightly in Q4 2023, indicating a potential shift towards a more balanced mix of debt and equity in the capital structure.
A higher debt-to-capital ratio may signal increased financial risk and potential difficulties in meeting debt obligations, especially during economic downturns or financial constraints. Conversely, a lower ratio may indicate a more conservative approach to financing, potentially limiting growth opportunities.
Overall, the fluctuating debt-to-capital ratio of Conmed Corp. suggests a dynamic capital structure management strategy, which should be closely monitored to ensure sustainable financial health and long-term stability.
Peer comparison
Dec 31, 2023