Genpact Limited (G)
Debt-to-equity ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,195,270 | 824,720 | 1,249,150 | 1,272,480 | 1,307,370 |
| Total stockholders’ equity | US$ in thousands | 2,389,610 | 2,248,390 | 1,826,160 | 1,897,130 | 1,834,230 |
| Debt-to-equity ratio | 0.50 | 0.37 | 0.68 | 0.67 | 0.71 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,195,270K ÷ $2,389,610K
= 0.50
The debt-to-equity ratio of Genpact Limited has shown a fluctuating trend over the past five years. Starting at 0.71 in December 31, 2020, the ratio decreased to 0.67 by December 31, 2021, and then slightly increased to 0.68 by December 31, 2022. Subsequently, there was a significant drop in the ratio to 0.37 by December 31, 2023, indicating a substantial decrease in debt relative to equity. However, by December 31, 2024, the ratio increased to 0.50.
The declining trend from 2020 to 2023 suggests that Genpact Limited may have been reducing its reliance on debt and improving its financial stability. The spike in the ratio in 2024 could imply a shift in the company's financing strategy, potentially taking on more debt or experiencing a decrease in equity during that period. Overall, the variations in the debt-to-equity ratio highlight changes in Genpact Limited's capital structure and financial leverage over the years.
Peer comparison
Dec 31, 2024