DigitalOcean Holdings Inc (DOCN)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,485,370 | 1,483,470 | 1,481,580 | 1,479,690 | 1,477,800 | 1,475,910 | 1,474,030 | 1,472,150 | 1,470,270 | 1,468,390 | 1,466,520 | 1,464,520 | 1,462,680 |
| Total stockholders’ equity | US$ in thousands | -202,955 | -211,703 | -253,784 | -286,072 | -313,698 | -358,773 | -267,579 | -202,608 | 47,569 | 27,010 | 47,260 | 427,386 | 578,197 |
| Debt-to-capital ratio | 1.16 | 1.17 | 1.21 | 1.24 | 1.27 | 1.32 | 1.22 | 1.16 | 0.97 | 0.98 | 0.97 | 0.77 | 0.72 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,485,370K ÷ ($1,485,370K + $-202,955K)
= 1.16
The debt-to-capital ratio of DigitalOcean Holdings Inc has shown an increasing trend over the period from December 31, 2021, to December 31, 2024. The ratio started at 0.72 on December 31, 2021, and gradually increased to 1.16 as of March 31, 2023, and further to 1.16 as of December 31, 2024. This indicates that the company's reliance on debt as a source of capital has been on the rise over the years, which may raise concerns about its financial leverage and ability to meet debt obligations. It is essential for stakeholders to monitor this trend to assess the company's financial health and risk profile.
Peer comparison
Dec 31, 2024