Monarch Casino & Resort Inc (MCRI)

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	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-equity ratio		0.01	0.02	0.09	0.11	0.00	0.00	0.09	0.13	0.15	0.20	0.29	0.37	0.45	0.49	0.53	0.50	0.51	0.47	0.41	0.36

December 31, 2023 calculation

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

The debt-to-equity ratio of Monarch Casino & Resort, Inc. has shown some variation over the past eight quarters. The ratio has generally been low, indicating that the company relies more on equity financing rather than debt to fund its operations and growth.

In Q4 2023 and Q4 2022, the company had a very low debt-to-equity ratio of 0.01, suggesting a strong equity position relative to its debt level. This indicates a conservative approach to financing and a lower financial risk compared to companies with higher debt levels.

The ratio increased slightly in Q3 2023 and Q2 2023 to 0.02 and 0.09, respectively, but remained relatively low and stable. However, in Q1 2023, there was a more significant jump to 0.11, indicating a higher proportion of debt relative to equity. This could be due to increased borrowing for expansion or capital investments during that period.

The highest ratio was recorded in Q1 2022 at 0.17, which may signify a heavier reliance on debt for financing activities during that quarter. However, the ratio decreased in subsequent quarters, showing a trend towards reducing the debt level relative to equity.

Overall, the low and stable debt-to-equity ratio of Monarch Casino & Resort, Inc. indicates a relatively conservative financial structure and a strong equity base supporting its operations and growth.