Middleby Corp (MIDD)
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 | 2,380,370 | 2,535,900 | 2,687,540 | 2,688,420 | 2,676,740 | 2,693,320 | 2,647,310 | 2,570,130 | 2,387,000 | 1,866,020 | 1,795,590 | 1,801,040 | 1,706,650 | 1,808,970 | 2,372,940 | 2,177,150 | 1,870,250 | 1,955,900 | 1,991,980 | 1,889,290 |
| Total stockholders’ equity | US$ in thousands | 3,249,890 | 3,095,220 | 2,999,530 | 2,862,200 | 2,797,750 | 2,498,540 | 2,417,970 | 2,427,970 | 2,494,280 | 2,298,970 | 2,125,880 | 1,995,210 | 1,976,650 | 2,031,320 | 1,939,520 | 1,894,710 | 1,946,810 | 1,856,030 | 1,798,250 | 1,726,060 |
| Debt-to-equity ratio | 0.73 | 0.82 | 0.90 | 0.94 | 0.96 | 1.08 | 1.09 | 1.06 | 0.96 | 0.81 | 0.84 | 0.90 | 0.86 | 0.89 | 1.22 | 1.15 | 0.96 | 1.05 | 1.11 | 1.09 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,380,370K ÷ $3,249,890K
= 0.73
The debt-to-equity ratio of Middleby Corp has demonstrated fluctuations over the past several quarters. The ratio has ranged from a low of 0.73 to a high of 1.22 during this period. A decreasing trend in the ratio generally indicates a lower reliance on debt financing compared to equity, while an increasing trend may suggest higher leverage and financial risk.
In more recent quarters, the debt-to-equity ratio has been relatively volatile, with values moving between 0.81 and 1.22. This variability could be attributed to changes in the company's capital structure, such as taking on additional debt for acquisitions, investments, or other strategic initiatives.
It is important to note that a debt-to-equity ratio above 1 indicates that the company has more debt than equity, which may signal potential financial risks and higher interest expenses. Conversely, a ratio below 1 suggests a more conservative financial approach with lower debt levels relative to equity.
Further analysis of the reasons behind the fluctuations in the debt-to-equity ratio, along with consideration of other financial metrics and factors impacting Middleby Corp's operations, would be necessary to gain a more comprehensive understanding of the company's financial health and risk profile.
Peer comparison
Dec 31, 2023