Netflix Inc (NFLX)
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 | 13,798,400 | 14,160,900 | 12,180,000 | 13,217,000 | 14,143,400 | 13,900,800 | 14,070,200 | 14,038,000 | 14,353,100 | 13,888,100 | 14,233,300 | 14,534,600 | 14,693,100 | 14,793,700 | 14,926,900 | 14,860,600 | 15,809,100 | 15,547,600 | 15,295,000 | 14,170,700 |
| Total stockholders’ equity | US$ in thousands | 24,743,600 | 22,720,700 | 22,112,700 | 21,365,400 | 20,588,300 | 22,107,600 | 22,832,200 | 21,828,200 | 20,777,400 | 20,528,100 | 19,076,000 | 17,544,000 | 15,849,200 | 15,314,600 | 13,863,900 | 12,884,100 | 11,065,200 | 10,333,300 | 9,334,750 | 8,409,290 |
| Debt-to-capital ratio | 0.36 | 0.38 | 0.36 | 0.38 | 0.41 | 0.39 | 0.38 | 0.39 | 0.41 | 0.40 | 0.43 | 0.45 | 0.48 | 0.49 | 0.52 | 0.54 | 0.59 | 0.60 | 0.62 | 0.63 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $13,798,400K ÷ ($13,798,400K + $24,743,600K)
= 0.36
The debt-to-capital ratio of Netflix Inc has shown a decreasing trend over the past few years, indicating a lower reliance on debt financing relative to total capital employed. The ratio decreased from 0.63 as of March 31, 2020, to 0.36 as of December 31, 2024, with intermittent fluctuations along the way. This decreasing trend suggests that Netflix has been managing its debt levels effectively and may be becoming more financially stable over time. A lower debt-to-capital ratio generally indicates lower financial risk and greater financial flexibility for the company.