Magnolia Oil & Gas Corp (MGY)

Debt-to-capital 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 stockholders’ equity US$ in thousands 1,913,560 1,908,060 1,818,050 1,701,240 1,691,650 1,664,150 1,634,470 1,599,340 1,576,030 1,271,010 1,098,250 897,564 816,733 694,612 623,532 609,789 548,136 532,608 527,019 543,166
Debt-to-capital ratio 0.17 0.17 0.18 0.19 0.19 0.19 0.19 0.20 0.20 0.23 0.26 0.30 0.32 0.36 0.38 0.39 0.42 0.42 0.43 0.42

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $392,513K ÷ ($392,513K + $1,913,560K)
= 0.17

The debt-to-capital ratio of Magnolia Oil & Gas Corp has shown a declining trend over the past few years, indicating improved financial health and reduced reliance on debt to fund its operations. The ratio decreased steadily from 0.42 in March 2020 to 0.17 in December 2024. This suggests that the company has been reducing its debt levels relative to its total capital, which can enhance its overall financial stability and flexibility. A lower debt-to-capital ratio is generally considered favorable as it signifies a lower financial risk and better ability to meet debt obligations. Magnolia Oil & Gas Corp's decreasing debt-to-capital ratio reflects a positive trend in its financial leverage and capital structure management.