Molina Healthcare Inc (MOH)

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	2,923,000	2,332,000	2,181,000	2,180,000	2,180,000	2,179,000	2,178,000	2,177,000	2,176,000	2,175,000	2,175,000	2,174,000	2,173,000	2,130,000	2,129,000	2,128,000	2,127,000	1,813,000	1,812,000	1,596,000
Total stockholders’ equity	US$ in thousands	4,496,000	4,770,000	4,843,000	4,493,000	4,215,000	3,879,000	3,621,000	3,288,000	2,964,000	3,041,000	2,830,000	2,794,000	2,630,000	2,518,000	2,370,000	2,164,000	2,096,000	2,201,000	1,996,000	1,647,000
Debt-to-capital ratio		0.39	0.33	0.31	0.33	0.34	0.36	0.38	0.40	0.42	0.42	0.43	0.44	0.45	0.46	0.47	0.50	0.50	0.45	0.48	0.49

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $2,923,000K ÷ ($2,923,000K + $4,496,000K)
= 0.39

The debt-to-capital ratio of Molina Healthcare Inc has been gradually declining from 0.49 as of March 31, 2020, to 0.39 as of December 31, 2024. This ratio measures the proportion of debt in the company's capital structure. A decreasing trend in the debt-to-capital ratio indicates that the company is relying less on debt financing relative to its total capital. This can be positive as it signifies a lower financial risk and potentially better financial health for the company. Investors and creditors often view a decreasing debt-to-capital ratio favorably as it indicates that the company is becoming less leveraged over time.