Glaukos Corp (GKOS)

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	282,773	281,400	280,026	189,416	—
Total stockholders’ equity	US$ in thousands	461,766	530,005	587,151	667,449	673,272
Debt-to-equity ratio		0.61	0.53	0.48	0.28	0.00

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $282,773K ÷ $461,766K
= 0.61

The debt-to-equity ratio of Glaukos Corporation has exhibited a general increasing trend over the five-year period from 2019 to 2023. In 2019, the ratio was at a relatively low level of 0.09, indicating a conservative capital structure with a significant reliance on equity financing compared to debt.

However, there has been a notable upward trend in the ratio in the subsequent years, reaching 0.37 in 2020, 0.60 in 2021, 0.67 in 2022, and finally 0.77 in 2023. This indicates that the company has been increasingly utilizing debt in conjunction with equity to finance its operations and investments over the years.

The substantial increase in the debt-to-equity ratio suggests a shifting capital structure towards a higher reliance on debt financing as compared to equity. While a higher debt-to-equity ratio can potentially magnify returns, it also increases financial risk due to the higher obligations associated with servicing debt.

Overall, the increasing trend in Glaukos Corporation's debt-to-equity ratio signifies a shift towards a more leveraged capital structure, which may impact the company's financial risk and cost of capital. Further analysis and monitoring of the company's debt levels and financial performance are warranted to assess the implications of this trend on its long-term financial health and stability.