3D Systems Corporation (DDD)

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	319,356	449,510	446,859	19,218	45,215
Total stockholders’ equity	US$ in thousands	428,759	751,704	842,381	430,723	522,159
Debt-to-capital ratio		0.43	0.37	0.35	0.04	0.08

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $319,356K ÷ ($319,356K + $428,759K)
= 0.43

The debt-to-capital ratio of 3D Systems Corporation has shown fluctuations over the past five years. In 2019, the ratio was relatively low at 0.08, indicating a lower reliance on debt to finance its operations compared to its equity. However, this ratio increased significantly in 2020 to 0.04, possibly due to changes in the company's capital structure or increased borrowing.

Subsequently, there was a notable upward trend in the debt-to-capital ratio from 2020 to 2023, suggesting a rising level of debt relative to the firm's total capital. By the end of 2023, the ratio reached 0.43, indicating that a significant portion of the company's capital structure is funded through debt.

This increase in the debt-to-capital ratio may raise concerns about the company's financial leverage and its ability to manage debt obligations effectively. Analysts and investors would typically monitor this ratio closely to assess the company's financial risk and its capacity to repay debt in the long term.