MGE Energy Inc (MGEE)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 718,822 | 585,246 | 614,211 | 519,303 | 523,741 |
| Total assets | US$ in thousands | 2,675,460 | 2,517,600 | 2,371,910 | 2,253,650 | 2,081,660 |
| Debt-to-assets ratio | 0.27 | 0.23 | 0.26 | 0.23 | 0.25 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $718,822K ÷ $2,675,460K
= 0.27
The debt-to-assets ratio of MGE Energy Inc has shown some fluctuation over the past five years. In 2023, the ratio increased to 0.27 from 0.23 in 2022, indicating that the company had a higher proportion of debt relative to its total assets that year. Comparing the ratio to 2021 and 2019, where it was 0.26 and 0.25 respectively, the increase in 2023 seems significant. However, when looking at 2020, where the ratio was also 0.23, the increase in 2023 appears less pronounced. Overall, while the ratio has exhibited some variability, it seems that MGE Energy Inc has maintained a relatively conservative level of debt compared to its total assets, with the ratio generally staying below 0.3 in the past five years.