Clearway Energy Inc Class C (CWEN)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 6,750,000 | 7,479,000 | 6,491,000 | 6,939,000 | 6,585,000 |
| Total stockholders’ equity | US$ in thousands | 5,564,000 | 4,995,000 | 4,033,000 | 3,300,000 | 2,715,000 |
| Debt-to-capital ratio | 0.55 | 0.60 | 0.62 | 0.68 | 0.71 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $6,750,000K ÷ ($6,750,000K + $5,564,000K)
= 0.55
The debt-to-capital ratio of Clearway Energy Inc Class C has shown a declining trend from 0.71 as of December 31, 2020, to 0.55 as of December 31, 2024. This indicates that the company has been effectively reducing its reliance on debt financing in relation to its total capital over the period under review. A decreasing debt-to-capital ratio can reflect improved financial health and reduced financial risk, as the company is relying less on debt to fund its operations and investments. Overall, the trend suggests a positive development in Clearway Energy Inc Class C's capital structure and financial leverage position.
Peer comparison
Dec 31, 2024