Harmony Biosciences Holdings (HRMY)
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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Long-term debt | US$ in thousands | 163,016 | 167,847 | 171,422 | 174,996 | 178,566 | 182,131 | 180,487 | 185,063 | 189,647 | 189,725 | 189,807 | 189,896 | 189,984 | 190,069 | 195,610 |
Total stockholders’ equity | US$ in thousands | 659,155 | 596,804 | 538,583 | 515,394 | 466,992 | 481,332 | 485,172 | 443,041 | 402,838 | 343,884 | 246,533 | 214,503 | 186,507 | 152,018 | 126,551 |
Debt-to-equity ratio | 0.25 | 0.28 | 0.32 | 0.34 | 0.38 | 0.38 | 0.37 | 0.42 | 0.47 | 0.55 | 0.77 | 0.89 | 1.02 | 1.25 | 1.55 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $163,016K ÷ $659,155K
= 0.25
The debt-to-equity ratio of Harmony Biosciences Holdings has been showing a declining trend over the analyzed period. Starting at 1.55 in June 2021, the ratio decreased steadily to 0.25 by December 2024. This downward trend indicates that the company has been reducing its reliance on debt financing in relation to equity, which can be seen as a positive sign of improved financial stability and lower financial risk. The decreasing ratio suggests that the company is progressively using less debt in its capital structure compared to equity, which may be attributed to effective financial management strategies or improved profitability over the period. Overall, a lower debt-to-equity ratio is generally considered favorable as it indicates a lower level of financial leverage and potential financial risk for the company.
Peer comparison
Dec 31, 2024