DT Midstream Inc (DTM)

Debt-to-assets ratio

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
Long-term debt US$ in thousands 3,065,000 3,064,000 3,062,000 3,061,000 3,059,000 3,058,000 3,057,000 3,033,000 3,036,000 3,037,000 3,037,000
Total assets US$ in thousands 8,982,000 8,862,000 8,726,000 8,981,000 8,833,000 8,419,000 8,290,000 8,211,000 8,166,000 8,127,000 7,990,000
Debt-to-assets ratio 0.34 0.35 0.35 0.34 0.35 0.36 0.37 0.37 0.37 0.37 0.38

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $3,065,000K ÷ $8,982,000K
= 0.34

The debt-to-assets ratio of DT Midstream Inc has remained relatively stable over the past eight quarters, ranging from 0.36 to 0.39. This ratio indicates that, on average, approximately 36-39% of the company's assets are financed through debt. A ratio below 1 typically suggests that the company relies more on equity financing rather than debt to fund its operations and investments.

The consistency of the ratio suggests that DT Midstream Inc has been maintaining a relatively conservative approach to debt utilization, ensuring that its asset base is not overly leveraged. This may indicate a prudent financial management strategy aimed at maintaining a healthy balance between debt and equity financing. Overall, the stability of the debt-to-assets ratio implies that the company has been effectively managing its debt levels relative to its asset base over the past two years.


Peer comparison

Dec 31, 2023