Forward Air Corporation (FWRD)

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	0	106,588	155,466	112,398	67,340
Total stockholders’ equity	US$ in thousands	764,261	707,244	593,654	547,329	577,182
Debt-to-capital ratio		0.00	0.13	0.21	0.17	0.10

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $0K ÷ ($0K + $764,261K)
= 0.00

The debt-to-capital ratio of Forward Air Corporation has been fluctuating over the past five years. In 2023, the company reported a debt-to-capital ratio of 0.00, indicating that the company had no debt relative to its capital in that year. This is a notable improvement from the previous year, 2022, when the ratio was 0.13.

Looking further back, in 2021, Forward Air Corporation's debt-to-capital ratio increased to 0.21, suggesting that a higher proportion of the company's capital was funded through debt that year. In 2020, the ratio was slightly lower at 0.17, and in 2019, it was the lowest at 0.10.

The trend in the debt-to-capital ratio shows that the company had effectively reduced its reliance on debt financing by 2023. This can be seen as a positive indicator of the company's financial health and risk management strategy. However, further analysis would be needed to understand the specific reasons behind these fluctuations and how they align with the company's overall financial and strategic goals.