Magnolia Oil & Gas Corp (MGY)

Debt-to-assets ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Long-term debt	US$ in thousands	392,513	394,793	394,131	393,480	392,839	392,209	391,590	390,982	390,383	389,794	389,216	388,647	388,087	387,537	386,996	391,448	391,115	390,787	390,464	390,147
Total assets	US$ in thousands	2,820,840	2,810,960	2,842,860	2,807,940	2,756,220	2,652,490	2,566,720	2,576,050	2,572,580	2,300,640	2,086,790	1,794,610	1,746,740	1,585,780	1,498,340	1,455,850	1,453,420	1,434,280	1,413,080	1,490,830
Debt-to-assets ratio		0.14	0.14	0.14	0.14	0.14	0.15	0.15	0.15	0.15	0.17	0.19	0.22	0.22	0.24	0.26	0.27	0.27	0.27	0.28	0.26

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $392,513K ÷ $2,820,840K
= 0.14

The debt-to-assets ratio of Magnolia Oil & Gas Corp has been gradually decreasing over the past few years. It stood at 0.26 as of March 31, 2020, and dropped to 0.14 by December 31, 2024. This indicates that the company's level of debt relative to its total assets has been decreasing steadily over the period, suggesting improved financial stability and lower reliance on debt financing. A lower debt-to-assets ratio generally signifies a lower financial risk for the company, as it indicates a healthier balance between debt and assets in the firm's capital structure. Magnolia Oil & Gas Corp's declining debt-to-assets ratio may indicate effective debt management and prudent financial decision-making by the company's management team.