Monarch Casino & Resort Inc (MCRI)

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	5,500	8,000	41,000	51,000	—	—	43,837	58,511	68,152	85,792	114,900	142,455	167,162	171,864	181,684	173,049	175,400	155,850	132,510	110,520
Total stockholders’ equity	US$ in thousands	513,140	502,447	481,812	463,406	538,954	515,370	486,336	465,189	448,014	424,395	401,087	379,910	368,067	353,530	340,422	344,094	341,201	332,693	321,125	310,157
Debt-to-capital ratio		0.01	0.02	0.08	0.10	0.00	0.00	0.08	0.11	0.13	0.17	0.22	0.27	0.31	0.33	0.35	0.33	0.34	0.32	0.29	0.26

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $5,500K ÷ ($5,500K + $513,140K)
= 0.01

The debt-to-capital ratio for Monarch Casino & Resort, Inc. has shown some variability over the past eight quarters. In Q4 2023 and Q4 2022, the ratios were at a low of 0.01, indicating minimal debt in relation to the total capital structure. This suggests a conservative approach to leverage during these periods.

However, in Q2 2022 and Q1 2022, the ratios increased to 0.12 and 0.14, respectively, signaling higher debt levels relative to the capital employed by the company. This could indicate an increased reliance on debt financing during those quarters, which may have been driven by strategic decisions or capital investment requirements.

Overall, it is important for Monarch Casino & Resort, Inc. to continue monitoring and managing its debt-to-capital ratio effectively to ensure a balanced capital structure that supports sustainable growth and financial stability.