Entegris Inc (ENTG)
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 | 3,981,100 | 4,577,140 | 5,632,930 | 937,027 | 1,085,780 |
| Total stockholders’ equity | US$ in thousands | 3,691,500 | 3,408,590 | 10,138,700 | 1,713,780 | 1,379,490 |
| Debt-to-capital ratio | 0.52 | 0.57 | 0.36 | 0.35 | 0.44 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $3,981,100K ÷ ($3,981,100K + $3,691,500K)
= 0.52
The debt-to-capital ratio of Entegris Inc has exhibited some fluctuation over the past five years. As of December 31, 2020, the ratio stood at 0.44, indicating that 44% of the company's capital structure was financed through debt. This ratio decreased to 0.35 by December 31, 2021, signaling a reduction in reliance on debt for capital funding.
However, there was a slight increase in the debt-to-capital ratio to 0.36 by December 31, 2022, before experiencing a more significant jump to 0.57 by December 31, 2023. This increase suggests that a larger proportion of Entegris' capital structure was funded through debt relative to the previous year.
By December 31, 2024, the debt-to-capital ratio decreased to 0.52, still higher than the levels seen in the earlier years of the period under review. The trend in the recent years indicates a moderate reliance on debt financing for capital needs, although the ratio has shown some variability annually.
Overall, fluctuations in the debt-to-capital ratio of Entegris Inc indicate varying levels of leverage in its capital structure, which can have implications for the company's financial risk and cost of capital.
Peer comparison
Dec 31, 2024