Mueller Industries Inc (MLI)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 185 | 1,218 | 1,064 | 286,593 | 378,724 |
| Total stockholders’ equity | US$ in thousands | 2,337,440 | 1,790,910 | 1,222,120 | 776,745 | 643,468 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.27 | 0.37 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $185K ÷ ($185K + $2,337,440K)
= 0.00
The debt-to-capital ratio for Mueller Industries Inc has exhibited a declining trend from 0.37 in 2019 to 0.00 in 2023. This ratio indicates the proportion of the company's capital that is funded by debt. A lower debt-to-capital ratio suggests a lower reliance on debt financing and a stronger financial position. The significant decrease in the ratio over the past five years reflects a shift towards a more conservative capital structure with reduced debt levels relative to total capital. This may indicate a company strategy to lower financial risk and enhance financial stability. Furthermore, a debt-to-capital ratio of 0.00 in the most recent year, 2023, indicates that the company has no debt in its capital structure, which may suggest a strong ability to finance operations internally or through equity financing.
Peer comparison
Dec 31, 2023