Dropbox Inc (DBX)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,377,800 | 1,374,000 | 1,370,300 | 0 | — |
| Total stockholders’ equity | US$ in thousands | -165,800 | -309,400 | -293,900 | 333,800 | 808,400 |
| Debt-to-capital ratio | 1.14 | 1.29 | 1.27 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,377,800K ÷ ($1,377,800K + $-165,800K)
= 1.14
Dropbox Inc's debt-to-capital ratio has shown a fluctuating trend over the past five years. In 2019, the ratio was relatively low at 0.21, indicating a lower level of debt relative to capital. However, the ratio increased significantly in 2020 to 0.45, suggesting a higher proportion of debt in the capital structure.
The trend continued to rise in 2021 and 2022, where the ratios were 1.22 and 1.23 respectively, indicating a significant increase in debt relative to capital. In 2023, there was a slight decrease in the debt-to-capital ratio to 1.11.
Overall, the fluctuation in Dropbox Inc's debt-to-capital ratio suggests varying levels of debt utilization in funding the company's operations and investments. It is essential for investors and stakeholders to closely monitor these changes to assess the company's financial risk and leverage position.
Peer comparison
Dec 31, 2023