Forward Air Corporation (FWRD)

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	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-equity ratio		0.00	0.15	0.26	0.21	0.12

December 31, 2023 calculation

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

The debt-to-equity ratio of Forward Air Corporation has exhibited fluctuations over the past five years. In 2023, the company reported a debt-to-equity ratio of 0.00, indicating that there was no debt on its balance sheet relative to its equity. This suggests that the company relied solely on equity financing to support its operations in 2023.

Comparing this to the previous year, the debt-to-equity ratio decreased from 0.15 in 2022 to 0.00 in 2023, signaling a significant reduction in debt relative to equity. This reduction could indicate either a decrease in debt levels, an increase in equity, or a combination of both.

Looking further back, the trend for the debt-to-equity ratio demonstrates variability. In 2021, the ratio was 0.26, which was higher compared to the most recent year, suggesting a higher proportion of debt to equity on the balance sheet. In 2020 and 2019, the ratios were 0.21 and 0.12, respectively, indicating a moderate level of debt relative to equity during those years.

Overall, the fluctuations in Forward Air Corporation's debt-to-equity ratio over the past five years highlight changing funding strategies and capital structures within the company. It is essential for stakeholders to monitor these ratios to assess the company's leverage and financial risk levels effectively.