Hilton Grand Vacations Inc (HGV)
Debt-to-equity ratio
| 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 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 3,049,000 | 2,730,000 | 2,942,000 | 2,940,000 | 2,651,000 | 2,612,000 | 2,787,000 | 2,913,000 | 2,913,000 | 2,929,000 | 2,431,000 | 1,156,000 | 1,159,000 | 1,262,000 | 1,263,000 | 1,266,000 | 828,000 | 815,000 | 937,000 | 800,000 |
| Total stockholders’ equity | US$ in thousands | 2,115,000 | 2,148,000 | 2,105,000 | 2,132,000 | 2,151,000 | 2,157,000 | 2,077,000 | 2,065,000 | 1,988,000 | 1,894,000 | 396,000 | 369,000 | 374,000 | 522,000 | 523,000 | 563,000 | 570,000 | 494,000 | 450,000 | 575,000 |
| Debt-to-equity ratio | 1.44 | 1.27 | 1.40 | 1.38 | 1.23 | 1.21 | 1.34 | 1.41 | 1.47 | 1.55 | 6.14 | 3.13 | 3.10 | 2.42 | 2.41 | 2.25 | 1.45 | 1.65 | 2.08 | 1.39 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $3,049,000K ÷ $2,115,000K
= 1.44
The debt-to-equity ratio of Hilton Grand Vacations Inc has exhibited some fluctuation over the past eight quarters, ranging from a low of 1.74 in Q4 2022 to a high of 2.13 in Q4 2023. Generally, a higher debt-to-equity ratio indicates that the company relies more on debt financing compared to equity, which can increase financial risk.
In the most recent quarter, Q4 2023, the debt-to-equity ratio increased to 2.13, signaling a higher level of debt relative to shareholders' equity. This may indicate that Hilton Grand Vacations Inc has taken on more debt to finance its operations or growth initiatives. Investors and stakeholders often monitor the trend in this ratio to assess the company's financial leverage and risk profile.
Overall, while fluctuations in the debt-to-equity ratio are common and can be influenced by various factors, it is important for Hilton Grand Vacations Inc to carefully manage its debt levels to maintain a healthy balance between debt and equity in its capital structure.