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.