Mesa Laboratories Inc (MLAB)
Debt-to-equity ratio
Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
---|---|---|---|---|---|---|
Long-term debt | US$ in thousands | 171,198 | 170,272 | 169,365 | 145,675 | 140,278 |
Total stockholders’ equity | US$ in thousands | 145,393 | 393,480 | 393,801 | 406,227 | 220,013 |
Debt-to-equity ratio | 1.18 | 0.43 | 0.43 | 0.36 | 0.64 |
March 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $171,198K ÷ $145,393K
= 1.18
The debt-to-equity ratio of Mesa Laboratories Inc has exhibited variability over the past five years, indicating changes in the company's capital structure and leverage. The ratio increased from 0.64 in 2020 to 1.18 in 2024, suggesting a higher degree of financial leverage in the most recent year. This increase may indicate that Mesa Laboratories has taken on more debt relative to equity, possibly to fund growth initiatives or strategic investments.
The significant rise in the debt-to-equity ratio from 2023 to 2024 could raise concerns about the company's financial risk and ability to meet its debt obligations. Investors and creditors may consider the higher ratio as a signal of increased risk, as higher levels of debt could lead to greater financial vulnerability, especially in periods of economic uncertainty.
Further analysis of Mesa Laboratories Inc's financial statements and business operations is recommended to fully understand the reasons behind the changing debt-to-equity ratio and to assess the company's overall financial health and stability.
Peer comparison
Mar 31, 2024