Illumina Inc (ILMN)
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 | 1,489,000 | 1,489,000 | 1,488,000 | — | 1,487,000 | — | — | — | 1,695,000 | — | — | — | 673,000 | 666,000 | 659,000 | 652,000 | 1,141,000 | 1,131,000 | 1,120,000 | 1,112,000 |
| Total stockholders’ equity | US$ in thousands | 5,745,000 | 5,898,000 | 6,555,000 | 6,693,000 | 6,599,000 | 6,731,000 | 10,444,000 | 10,895,000 | 10,740,000 | 10,593,000 | 5,180,000 | 4,922,000 | 4,694,000 | 4,700,000 | 4,563,000 | 4,635,000 | 4,613,000 | 4,439,000 | 4,332,000 | 3,985,000 |
| Debt-to-equity ratio | 0.26 | 0.25 | 0.23 | 0.00 | 0.23 | 0.00 | 0.00 | 0.00 | 0.16 | 0.00 | 0.00 | 0.00 | 0.14 | 0.14 | 0.14 | 0.14 | 0.25 | 0.25 | 0.26 | 0.28 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,489,000K ÷ $5,745,000K
= 0.26
The debt-to-equity ratio of Illumina Inc has exhibited fluctuations over the past eight quarters, ranging from 0.16 to 0.41. In Q4 2023, the ratio stood at 0.26, showing a slight increase from the previous quarter's 0.25. This indicates that the company's level of debt relative to its equity has risen marginally. However, compared to Q4 2022 when the ratio was 0.41, there has been a notable decrease in leverage.
The trend in the debt-to-equity ratio suggests that Illumina Inc has maintained a relatively stable capital structure, with the ratio hovering around the 0.25 to 0.35 range in recent quarters. A lower ratio implies a lower reliance on debt financing, which can be viewed positively as it reduces financial risk and enhances financial flexibility.
It is important to monitor the debt-to-equity ratio over time to assess the company's ability to meet its financial obligations and manage its capital structure efficiently. Additional analysis, including comparing the ratio to industry benchmarks and peer companies, would provide further insights into Illumina Inc's financial health and leverage position.
Peer comparison
Dec 31, 2023