Metallus Inc (MTUS)

Debt-to-capital ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Long-term debt	US$ in thousands	0	0	0	0	0	0	0	0	0	0	—	—	44,700	39,300	20,000	60,000	139,800	168,600	187,400	221,300
Total stockholders’ equity	US$ in thousands	739,300	731,600	730,300	711,800	691,400	686,500	735,100	768,900	703,200	664,600	620,600	570,000	513,300	507,500	514,400	527,000	542,100	563,100	650,300	673,700
Debt-to-capital ratio		0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.08	0.07	0.04	0.10	0.21	0.23	0.22	0.25

March 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $0K ÷ ($0K + $739,300K)
= 0.00

The debt-to-capital ratio of Metallus Inc has been relatively stable at low levels in recent quarters, indicating a conservative capital structure with a lower reliance on debt financing compared to equity. The ratio remained at 0.00 for the first ten quarters in the dataset, highlighting the company's initial preference for equity financing over debt.

However, there was a noticeable uptick in the ratio in the latter quarters, with values increasing from 0.04 in September 2020 to 0.25 in September 2019. This shift suggests that Metallus Inc may have started to utilize more debt to finance its operations and growth initiatives.

While a higher debt-to-capital ratio can indicate increased financial risk due to higher debt obligations, it can also signify leveraging for potential growth opportunities. As such, further analysis of the reasons behind the rise in the ratio during the specified period is recommended to assess the company's overall financial health and risk profile.