Callaway Golf Company (MODG)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,457,900 | 1,518,200 | 1,176,300 | 1,025,300 | 650,564 |
| Total stockholders’ equity | US$ in thousands | 2,407,700 | 3,878,200 | 3,774,300 | 3,682,900 | 675,644 |
| Debt-to-capital ratio | 0.38 | 0.28 | 0.24 | 0.22 | 0.49 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,457,900K ÷ ($1,457,900K + $2,407,700K)
= 0.38
The debt-to-capital ratio of Callaway Golf Company has shown a fluctuating trend over the past five years. Starting at 0.49 in December 2020, the ratio decreased to 0.22 by December 2021, signaling a significant decrease in the company's reliance on debt in relation to its overall capital structure. However, the ratio gradually increased in the subsequent years, reaching 0.38 by December 2024. Overall, while the company has effectively reduced its debt relative to its capital base, there has been a slight uptick in leverage in recent years. This indicates that Callaway Golf Company's capital structure has experienced some variability, which may warrant further monitoring to assess its impact on the company's financial health and risk profile.
Peer comparison
Dec 31, 2024