GE HealthCare Technologies Inc. (GEHC)
Debt-to-capital ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | ||
|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 7,449,000 | 9,306,000 | 8,233,000 | 8,247,000 | 8,436,000 | 10,253,000 |
| Total stockholders’ equity | US$ in thousands | 8,446,000 | 8,317,000 | 7,801,000 | 7,408,000 | 7,133,000 | 7,131,000 |
| Debt-to-capital ratio | 0.47 | 0.53 | 0.51 | 0.53 | 0.54 | 0.59 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $7,449,000K ÷ ($7,449,000K + $8,446,000K)
= 0.47
The debt-to-capital ratio of GE HealthCare Technologies Inc. has been gradually declining over the periods under review. In September 2023, the ratio stood at 0.59, indicating that 59% of the company's capital structure was funded by debt. By December 2024, the ratio had decreased to 0.47, demonstrating a more conservative approach to debt financing. This trend suggests that the company has been reducing its reliance on debt to finance its operations and investments, which can enhance its financial stability and reduce financial risk. However, it is important to consider that a lower debt-to-capital ratio may also indicate reduced leverage and potentially lower returns on equity for investors.
Peer comparison
Dec 31, 2024