Netflix Inc (NFLX)
Debt-to-equity 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-equity ratio | 0.56 | 0.62 | 0.55 | 0.62 | 0.69 | 0.63 | 0.62 | 0.64 | 0.69 | 0.68 | 0.75 | 0.83 | 0.93 | 0.97 | 1.08 | 1.15 | 1.43 | 1.50 | 1.64 | 1.69 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $13,798,400K ÷ $24,743,600K
= 0.56
The debt-to-equity ratio of Netflix Inc has shown a declining trend from 1.69 as of March 31, 2020, to 0.56 as of December 31, 2024. This indicates that the company has been reducing its reliance on debt financing relative to equity over the years. A decreasing debt-to-equity ratio is generally viewed positively by investors and creditors as it suggests a lower financial risk and a stronger financial position. The ratio reaching 0.56 as of December 31, 2024, implies that the company's debt levels are only 56% of its equity, which could signify improved stability and potential for growth.