Hologic Inc (HOLX)
Debt-to-capital 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 | 2,522,700 | 2,531,200 | 2,789,300 | 2,797,700 | 2,806,200 | 2,808,400 | 2,814,600 | 2,813,400 | 2,819,600 | 2,712,200 | 2,654,700 | 2,672,100 | 2,689,500 | 2,713,900 | 2,731,300 | 2,749,300 | 2,769,400 | 2,783,600 | 2,791,600 | 2,799,700 |
| Total stockholders’ equity | US$ in thousands | 4,653,800 | 5,016,900 | 5,182,000 | 5,300,800 | 5,092,500 | 4,876,200 | 4,997,900 | 4,792,700 | 4,519,100 | 4,218,600 | 3,877,100 | 3,794,400 | 3,267,900 | 2,705,200 | 2,255,100 | 2,086,100 | 2,250,800 | 2,115,700 | 2,216,500 | 2,159,800 |
| Debt-to-capital ratio | 0.35 | 0.34 | 0.35 | 0.35 | 0.36 | 0.37 | 0.36 | 0.37 | 0.38 | 0.39 | 0.41 | 0.41 | 0.45 | 0.50 | 0.55 | 0.57 | 0.55 | 0.57 | 0.56 | 0.56 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $2,522,700K ÷ ($2,522,700K + $4,653,800K)
= 0.35
The debt-to-capital ratio of Hologic Inc has fluctuated over the past five years, ranging from 0.34 to 0.57. A lower debt-to-capital ratio indicates a company is relying more on equity financing rather than debt to fund its operations and expansion.
Hologic's debt-to-capital ratio has slightly decreased from 0.37 in September 2022 to 0.35 in December 2023. This reduction may suggest that the company has been efficiently managing its debt levels in relation to its total capital structure. However, despite the fluctuation, the ratio has generally remained within a manageable range between 0.34 and 0.57 over the period analyzed.
Investors and analysts typically look for a stable and sustainable debt-to-capital ratio, and in Hologic's case, the ratio seems to have been relatively stable apart from some minor variations. Monitoring this ratio over time can provide insights into the company's financial health and risk management strategies.
Peer comparison
Dec 31, 2023