Warrior Met Coal Inc (HCC)
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 | 153,023 | 302,588 | 339,806 | 379,908 | 339,189 |
| Total stockholders’ equity | US$ in thousands | 1,874,450 | 1,447,520 | 871,983 | 725,241 | 765,582 |
| Debt-to-equity ratio | 0.08 | 0.21 | 0.39 | 0.52 | 0.44 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $153,023K ÷ $1,874,450K
= 0.08
The debt-to-equity ratio of Warrior Met Coal Inc has shown a decreasing trend over the past five years, indicating improvements in the company's capital structure and financial leverage. The ratio has declined from 0.49 in 2019 to 0.09 in 2023. This suggests that the company has reduced its reliance on debt financing relative to equity financing, which could translate to lower financial risk and greater financial stability. By steadily decreasing its debt-to-equity ratio, Warrior Met Coal Inc may have enhanced its ability to weather economic downturns and capitalize on growth opportunities in a more sustainable manner. The trend implies that the company may be effectively managing its debt levels and optimizing its capital structure to support long-term growth and profitability.
Peer comparison
Dec 31, 2023