Crane Company (CR)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | ||
|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 248,500 | 250,300 | 262,300 | — |
| Total stockholders’ equity | US$ in thousands | 1,357,800 | 1,284,100 | 1,235,200 | 1,560,400 |
| Debt-to-capital ratio | 0.15 | 0.16 | 0.18 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $248,500K ÷ ($248,500K + $1,357,800K)
= 0.15
The debt-to-capital ratio for Crane Company has fluctuated over the past year, ranging from 0.00 to 0.18. This ratio measures the proportion of a company's capital that is financed by debt, with lower ratios indicating less reliance on debt financing.
The significant decrease in the debt-to-capital ratio from 0.18 in June 2023 to 0.00 in March 2023 suggests that Crane Company either reduced its debt levels or increased its capital during this period.
Overall, the company’s relatively low debt-to-capital ratios indicate a conservative approach to financing and a strong financial position. It is important to continue monitoring this ratio to ensure that Crane Company maintains a healthy balance between debt and equity financing.
Peer comparison
Dec 31, 2023