LivaNova PLC (LIVN)

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	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Long-term debt	US$ in thousands	549,624	604,287	605,432	604,753	568,543	568,163	567,951	520,201	518,067	518,249	459,792	455,810	9,849	10,797	431,033	646,369	642,298	637,109	639,189	315,561
Total stockholders’ equity	US$ in thousands	1,320,260	1,310,040	1,242,540	1,221,540	1,277,630	1,225,470	1,240,610	1,227,340	1,207,620	1,146,960	1,282,000	1,291,850	1,294,640	1,299,500	1,028,670	1,055,130	1,109,260	1,350,790	1,333,190	1,392,710
Debt-to-equity ratio		0.42	0.46	0.49	0.50	0.44	0.46	0.46	0.42	0.43	0.45	0.36	0.35	0.01	0.01	0.42	0.61	0.58	0.47	0.48	0.23

December 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $549,624K ÷ $1,320,260K
= 0.42

The debt-to-equity ratio of LivaNova PLC over the past few years has fluctuated within a relatively moderate range. The company's debt-to-equity ratio was at 0.23 as of March 31, 2020, indicating a conservative level of debt compared to equity. This ratio increased to 0.61 by March 31, 2021, which suggests a higher reliance on debt financing during that period.

Subsequently, the debt-to-equity ratio decreased to 0.01 by September 30, 2021, and remained at a similarly low level through December 31, 2021. Such a low ratio may imply that the company significantly reduced its debt levels or increased its equity base during that time frame.

From March 31, 2022, to June 30, 2024, the debt-to-equity ratio exhibited some fluctuations, ranging between 0.35 and 0.49. Overall, the trend indicates a balanced mix of debt and equity in LivaNova's capital structure during this period.

The latest available data as of December 31, 2024, shows the debt-to-equity ratio at 0.42, a moderate level that suggests the company's financing structure continues to be reasonably stable with a reasonable amount of debt relative to equity.

In conclusion, LivaNova PLC has managed its debt levels effectively, maintaining a relatively stable debt-to-equity ratio over the years, indicating prudent financial management and a balanced approach to capital structure.