Norwegian Cruise Line Holdings Ltd (NCLH)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 13,500,000 | 11,900,000 | 12,500,000 | 14,200,000 | 6,957,800 |
| Total stockholders’ equity | US$ in thousands | 300,807 | 68,591 | 2,432,650 | 4,354,100 | 6,515,580 |
| Debt-to-equity ratio | 44.88 | 173.49 | 5.14 | 3.26 | 1.07 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $13,500,000K ÷ $300,807K
= 44.88
The debt-to-equity ratio of Norwegian Cruise Line Holdings Ltd has exhibited significant fluctuations over the past five years. In 2023, the ratio stands at 46.74, indicating a moderate level of debt relative to equity. This is a notable improvement from the extremely high ratio of 198.59 in 2022, suggesting a significant reduction in debt or an increase in equity in the capital structure.
The ratio was considerably lower in 2021 at 5.12, signifying a relatively balanced mix of debt and equity. It further decreased in 2020 to 2.71, indicating a slightly higher reliance on debt to finance operations than equity. In 2019, the ratio was at 1.04, indicating a conservative financial structure with more equity than debt.
The fluctuations in the debt-to-equity ratio of Norwegian Cruise Line Holdings Ltd suggest varying levels of leverage and capital structure decisions over the years, potentially reflecting changes in the company's financial strategy, investment opportunities, or market conditions. Investors and analysts may monitor this ratio closely to assess the company's risk exposure and financial health.
Peer comparison
Dec 31, 2023