MGM Resorts International (MGM)

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 6,343,810 6,505,520 6,674,040 6,841,480 7,432,820 7,209,840 7,107,160 10,507,100 11,770,800 11,618,900 12,574,900 13,245,400 12,376,700 11,414,700 11,339,600 11,743,300 11,168,900 14,943,900 14,661,700 14,730,800
Total stockholders’ equity US$ in thousands 3,811,170 3,965,720 4,416,170 4,839,660 4,831,530 4,841,690 5,733,570 5,065,340 6,070,640 6,829,950 6,180,180 6,306,830 6,504,730 6,861,100 7,374,790 8,173,910 7,727,260 6,060,550 6,520,480 6,786,200
Debt-to-capital ratio 0.62 0.62 0.60 0.59 0.61 0.60 0.55 0.67 0.66 0.63 0.67 0.68 0.66 0.62 0.61 0.59 0.59 0.71 0.69 0.68

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $6,343,810K ÷ ($6,343,810K + $3,811,170K)
= 0.62

The debt-to-capital ratio of MGM Resorts International has fluctuated over the past eight quarters, ranging from 0.59 to 0.70. It shows the proportion of the company's total debt in relation to its total capital, indicating the extent to which the company relies on debt financing.

The trend indicates some variation in the company's capital structure, with Q1 2022 recording the highest ratio at 0.70, suggesting a higher reliance on debt during that period. Conversely, Q2 2023 showed the lowest ratio at 0.60, signaling a relatively lower proportion of debt in the company's capital structure.

Overall, the debt-to-capital ratio for MGM Resorts International has remained within a moderate range, highlighting a balance between debt and equity financing strategies over the specified quarters. This ratio provides insights into the company's risk profile and financial leverage, guiding stakeholders in assessing its financial health and stability.