Warrior Met Coal Inc (HCC)
Debt-to-equity ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 153,612 | 153,460 | 153,312 | 153,166 | 153,023 | 152,883 | 295,311 | 295,051 | 302,588 | 303,916 | 340,356 | 340,078 | 339,806 | 340,491 | 380,292 | 380,098 | 379,908 | 379,722 | 379,541 | 409,363 |
| Total stockholders’ equity | US$ in thousands | 2,090,820 | 2,086,830 | 2,048,390 | 1,978,200 | 1,874,450 | 1,745,210 | 1,661,300 | 1,578,290 | 1,447,520 | 1,347,630 | 1,291,060 | 1,018,610 | 871,983 | 735,363 | 698,154 | 700,303 | 725,241 | 759,711 | 774,963 | 785,122 |
| Debt-to-equity ratio | 0.07 | 0.07 | 0.07 | 0.08 | 0.08 | 0.09 | 0.18 | 0.19 | 0.21 | 0.23 | 0.26 | 0.33 | 0.39 | 0.46 | 0.54 | 0.54 | 0.52 | 0.50 | 0.49 | 0.52 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $153,612K ÷ $2,090,820K
= 0.07
Warrior Met Coal Inc's debt-to-equity ratio has shown a decreasing trend over the past few years. As of December 31, 2024, the ratio stood at 0.07, indicating that for every dollar of equity, the company has only 7 cents of debt. This suggests that Warrior Met Coal Inc relies more on equity financing rather than debt to fund its operations and growth.
The decreasing trend in the debt-to-equity ratio indicates that the company has been actively managing its debt levels and improving its financial structure over time. A lower debt-to-equity ratio generally signifies lower financial risk and a healthier balance sheet.
It is important to note that a very low debt-to-equity ratio may also indicate underutilization of debt financing, which could potentially limit the company's ability to leverage opportunities for growth. Therefore, while a decreasing trend in the ratio is positive in terms of financial stability, it is crucial for Warrior Met Coal Inc to maintain a balanced approach to capital structure to support its strategic objectives.
Peer comparison
Dec 31, 2024