Haemonetics Corporation (HAE)

Debt-to-equity ratio

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Long-term debt	US$ in thousands	797,564	856,849	748,662	751,381	754,102	756,826	759,552	763,141	559,441	633,118	698,043	767,345	690,592	292,721	297,016	296,893	305,513	309,738	313,984	318,144
Total stockholders’ equity	US$ in thousands	959,959	943,319	893,660	864,616	817,997	775,979	729,009	770,423	749,424	730,775	698,549	677,080	731,670	719,152	667,923	608,569	587,109	574,580	583,754	590,966
Debt-to-equity ratio		0.83	0.91	0.84	0.87	0.92	0.98	1.04	0.99	0.75	0.87	1.00	1.13	0.94	0.41	0.44	0.49	0.52	0.54	0.54	0.54

March 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $797,564K ÷ $959,959K
= 0.83

The debt-to-equity ratio of Haemonetics Corporation has fluctuated over the past years, indicating varying levels of leverage and financial risk. As of March 31, 2024, the debt-to-equity ratio stands at 0.83, suggesting that the company has a lower level of debt relative to equity. This indicates a conservative capital structure where equity financing plays a significant role.

Looking at historical trends, the ratio has shown some volatility, reaching a peak of 1.13 in December 2021 and a low of 0.41 in December 2020. The increasing trend from 2020 to 2021 indicates a higher reliance on debt for financing, potentially to fund expansion or acquisitions. However, the ratio has since decreased, pointing towards a move towards a more balanced capital structure.

Overall, analyzing the debt-to-equity ratio provides insights into Haemonetics Corporation's capital structure and financial risk management strategies. A lower ratio generally signifies a lower financial risk, while a higher ratio may indicate higher leverage and potential risk. Additionally, fluctuations in the ratio over time can reflect changes in the company's financing decisions and business operations. Monitoring this ratio is crucial for understanding the company's overall financial health and its ability to meet its debt obligations.