Evergy Inc. Common Stock (EVRG)

Debt-to-equity ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	11,053,300	9,905,700	9,297,900	9,190,900	8,746,700
Total stockholders’ equity	US$ in thousands	9,663,100	9,483,700	9,244,400	8,733,400	8,571,900
Debt-to-equity ratio		1.14	1.04	1.01	1.05	1.02

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $11,053,300K ÷ $9,663,100K
= 1.14

The debt-to-equity ratio of Evergy Inc has been gradually increasing over the past five years, from 1.16 in 2019 to 1.36 in 2023. This indicates that the company has been relying more on debt financing compared to equity financing over this period. A higher debt-to-equity ratio can indicate a higher financial risk as the company may have increased financial leverage, potentially leading to higher interest payments and financial obligations. It is important for Evergy Inc to carefully manage its debt levels to ensure financial stability and sustainability in the long term.