MGP Ingredients Inc (MGPI)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 280,849 | 29,510 | 35,266 | 38,271 | 40,658 |
| Total stockholders’ equity | US$ in thousands | 850,492 | 746,724 | 644,755 | 262,526 | 231,044 |
| Debt-to-equity ratio | 0.33 | 0.04 | 0.05 | 0.15 | 0.18 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $280,849K ÷ $850,492K
= 0.33
The debt-to-equity ratio of MGP Ingredients, Inc. has varied over the past five years. In 2023, the ratio increased to 0.34 compared to 0.31 in 2022 and 0.36 in 2021, indicating a higher level of debt relative to equity. However, it is still lower than the ratios in 2020 and 2019, which were 0.15 and 0.18 respectively. Overall, the trend suggests that the company has been employing more debt in its capital structure in recent years compared to the earlier period, indicating a potential shift in the company's financing strategy.