Liberty Oilfield Services Inc (LBRT)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	140,000	217,426	121,445	105,411	105,731
Total stockholders’ equity	US$ in thousands	1,841,410	1,495,020	1,213,240	1,150,640	554,827
Debt-to-capital ratio		0.07	0.13	0.09	0.08	0.16

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $140,000K ÷ ($140,000K + $1,841,410K)
= 0.07

The debt-to-capital ratio of Liberty Energy Inc has fluctuated over the past five years, ranging from 0.10 to 0.22.

In 2023, the ratio stands at 0.15, which indicates that the company's debt accounts for 15% of its total capital. This suggests that Liberty Energy Inc relies moderately on debt financing to fund its operations and growth initiatives.

Comparing 2023 to the previous years, the company's debt-to-capital ratio has increased slightly from 0.14 in 2022. However, it remains lower than the ratios in 2020 and 2019, indicating improved debt management.

Overall, the trend in Liberty Energy Inc's debt-to-capital ratio reflects a relatively conservative approach to debt levels, balancing the benefits of leverage with the need for financial stability. It is important for the company to continue monitoring and managing its debt levels effectively to support sustainable long-term growth.