Crescent Energy Co (CRGY)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,694,380 | 1,247,560 | 1,030,410 |
| Total stockholders’ equity | US$ in thousands | 3,635,720 | 3,298,990 | 3,019,660 |
| Debt-to-equity ratio | 0.47 | 0.38 | 0.34 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,694,380K ÷ $3,635,720K
= 0.47
The debt-to-equity ratio of Crescent Energy Co has been gradually increasing over the past three years, indicating a rising level of financial leverage. In 2021, the ratio was 0.34, which increased to 0.38 in 2022, and further rose to 0.47 in 2023.
A debt-to-equity ratio of 0.47 in 2023 suggests that for every dollar of equity, Crescent Energy Co has $0.47 in debt. This indicates that the company is relying more on debt financing compared to equity financing, which may increase financial risk and interest expenses.
It is important for stakeholders to monitor this trend and assess the company's ability to manage its debt obligations effectively, as a higher debt-to-equity ratio can potentially impact the company's financial stability and ability to generate sustainable returns.
Peer comparison
Dec 31, 2023