Novanta Inc (NOVT)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 411,949 | 349,404 | 430,662 | 429,361 | 194,927 |
| Total stockholders’ equity | US$ in thousands | 745,698 | 673,460 | 577,586 | 521,291 | 476,809 |
| Debt-to-capital ratio | 0.36 | 0.34 | 0.43 | 0.45 | 0.29 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $411,949K ÷ ($411,949K + $745,698K)
= 0.36
The debt-to-capital ratio of Novanta Inc has experienced fluctuations over the past five years. As of December 31, 2020, the ratio stood at 0.29, indicating that the company's debt represented 29% of its total capital. Subsequently, the ratio increased to 0.45 by December 31, 2021, signifying a higher proportion of debt relative to total capital.
In the following years, there was a slight decline in the ratio, reaching 0.43 by December 31, 2022, and further dropping to 0.34 by December 31, 2023. This downward trend suggests a decreasing reliance on debt financing compared to total capital.
By the end of December 31, 2024, the debt-to-capital ratio witnessed a modest increase to 0.36, reflecting a slight uptick in the company's debt relative to its total capital.
Overall, the trend in Novanta Inc's debt-to-capital ratio indicates some variability in the level of debt used to finance operations over the analyzed period, with a general pattern of fluctuation rather than a consistent upward or downward trajectory.
Peer comparison
Dec 31, 2024