Edwards Lifesciences Corp (EW)

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	597,000	596,300	595,700	595,000	594,400
Total stockholders’ equity	US$ in thousands	6,650,000	5,806,700	5,835,900	4,574,300	4,148,300
Debt-to-capital ratio		0.08	0.09	0.09	0.12	0.13

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $597,000K ÷ ($597,000K + $6,650,000K)
= 0.08

The debt-to-capital ratio of Edwards Lifesciences Corp has shown a declining trend over the past five years, indicating a decreasing reliance on debt to finance its operations and growth. As of December 31, 2023, the ratio stood at 0.08, down from 0.13 in 2019. This suggests that the company has been effectively managing its debt levels relative to its total capital, reflecting a stronger financial position and potentially lower financial risk. A lower debt-to-capital ratio indicates a higher proportion of equity in the company's capital structure, which can enhance financial stability and flexibility. Overall, the decreasing trend in the debt-to-capital ratio for Edwards Lifesciences Corp is a positive indicator of its financial health and prudent capital management.