FTI Consulting Inc (FCN)
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 | 0 | 315,172 | 297,158 | 286,131 | 275,609 |
| Total stockholders’ equity | US$ in thousands | 1,981,420 | 1,681,720 | 1,583,320 | 1,400,180 | 1,489,140 |
| Debt-to-equity ratio | 0.00 | 0.19 | 0.19 | 0.20 | 0.19 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $0K ÷ $1,981,420K
= 0.00
FTI Consulting Inc.'s debt-to-equity ratio has shown a consistent trend of maintaining a relatively low level of debt compared to equity over the past five years. As of December 31, 2023, the company reported a debt-to-equity ratio of 0.00, indicating that the company had no debt and relied solely on equity to finance its operations. This represents a significant improvement from the previous year when the ratio was 0.19.
The decreasing trend in the debt-to-equity ratio over the years suggests that FTI Consulting Inc. has been gradually reducing its reliance on debt financing in favor of equity, which can be viewed positively by investors and creditors as it signifies a lower financial risk and a stronger financial position. Overall, the company's prudent management of its capital structure is reflected in its consistently low debt-to-equity ratio, which indicates a conservative approach to managing its financial obligations.
Peer comparison
Dec 31, 2023