GE HealthCare Technologies Inc. (GEHC)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 8,436,000 | 10,253,000 | 10,233,000 | 10,234,000 | 8,234,000 |
| Total stockholders’ equity | US$ in thousands | 7,133,000 | 7,131,000 | 7,102,000 | 6,690,000 | 9,357,000 |
| Debt-to-capital ratio | 0.54 | 0.59 | 0.59 | 0.60 | 0.47 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $8,436,000K ÷ ($8,436,000K + $7,133,000K)
= 0.54
The debt-to-capital ratio of GE HealthCare Technologies Inc. has been fluctuating over the past year, ranging from 0.47 to 0.60. The ratio indicates the proportion of the company's capital that is financed by debt. A higher ratio suggests a greater reliance on debt financing, which can indicate higher financial risk.
In the most recent period, as of December 31, 2023, the debt-to-capital ratio stood at 0.54, showing a moderate level of debt relative to the company's total capital. It is lower compared to the ratio recorded in the previous quarter but remains within a reasonable range.
Overall, the trend in the debt-to-capital ratio for GE HealthCare Technologies Inc. has been somewhat stable, with minor fluctuations seen throughout the year. Monitoring this ratio over time can provide insights into the company's capital structure decisions and financial risk management strategies.
Peer comparison
Dec 31, 2023