Coterra Energy Inc (CTRA)

Debt-to-capital ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Long-term debt	US$ in thousands	3,535,000	2,066,000	2,071,000	2,076,000	1,586,000	1,592,000	2,171,000	2,176,000	2,181,000	2,188,000	2,981,000	3,090,000	3,125,000	946,509	946,316	946,123	946,000	973,712	1,045,500	1,045,260
Total stockholders’ equity	US$ in thousands	13,122,000	13,034,000	13,029,000	13,089,000	13,039,000	12,789,000	12,659,000	12,643,000	12,659,000	12,659,000	12,191,000	11,718,000	11,738,000	2,327,000	2,300,000	2,306,000	2,216,000	2,118,490	2,165,980	2,168,400
Debt-to-capital ratio		0.21	0.14	0.14	0.14	0.11	0.11	0.15	0.15	0.15	0.15	0.20	0.21	0.21	0.29	0.29	0.29	0.30	0.31	0.33	0.33

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $3,535,000K ÷ ($3,535,000K + $13,122,000K)
= 0.21

The debt-to-capital ratio of Coterra Energy Inc has shown a declining trend over the period from March 31, 2020, to December 31, 2024. The ratio decreased from 0.33 in March 2020 to 0.21 in December 2021 and further declined to 0.11 by September 30, 2023. Subsequently, there was a slight increase to 0.14 by March 31, 2024, maintaining this level through September 30, 2024, and then rising to 0.21 by December 31, 2024. The decreasing trend in the debt-to-capital ratio indicates that Coterra Energy has been gradually reducing its reliance on debt financing compared to its equity capital base in recent years. This signifies a potentially improving financial health and lower financial risk for the company, as it implies a more conservative capital structure.