Heritage Financial Corporation (HFWA)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 863,527 | 853,261 | 797,893 | 854,432 | 820,439 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $863,527K)
= 0.00
The debt-to-capital ratio for Heritage Financial Corporation has consistently remained at 0.00 from December 31, 2020, to December 31, 2024. This indicates that the company has not utilized any debt to finance its operations relative to its capital structure during this period. A debt-to-capital ratio of 0.00 implies that the company is not relying on debt financing and is potentially funding its activities primarily through equity. This can suggest financial stability and a lower risk of default as the absence of debt obligations can lead to lower interest expenses and better debt management. It would be important to further analyze the company's overall financial position and strategy to understand the reasons behind the consistent 0.00 debt-to-capital ratio and its implications for the company's financial health and growth prospects.