MGE Energy Inc (MGEE)

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	718,822	690,028	651,654	652,804	585,246	561,566	592,689	613,105	614,211	615,311	556,431	518,211	519,303	520,383	521,456	522,614	523,741	490,159	491,217	492,283
Total stockholders’ equity	US$ in thousands	1,140,070	1,135,250	1,112,580	1,098,370	1,081,670	1,075,200	1,056,060	1,048,150	1,027,470	1,028,280	1,007,300	997,711	976,000	973,584	955,171	869,492	855,676	851,234	832,797	828,950
Debt-to-equity ratio		0.63	0.61	0.59	0.59	0.54	0.52	0.56	0.58	0.60	0.60	0.55	0.52	0.53	0.53	0.55	0.60	0.61	0.58	0.59	0.59

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $718,822K ÷ $1,140,070K
= 0.63

The debt-to-equity ratio of MGE Energy Inc has fluctuated over the past few years, ranging from 0.52 to 0.63. The ratio indicates that the company relies more on debt financing than equity to fund its operations and growth.

In recent quarters, the debt-to-equity ratio has been relatively stable, staying within the range of 0.59 to 0.61. This suggests that the company's capital structure has been relatively consistent and well-managed during this period.

Overall, a decreasing trend in the debt-to-equity ratio over time can indicate improved financial health and reduced financial risk for the company, while an increasing trend could signal a higher level of financial leverage and potential risk.

It is important for investors and stakeholders to monitor this ratio along with other financial metrics to assess the company's financial stability and risk profile accurately.