Otter Tail Corporation (OTTR)

Debt-to-equity ratio

		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	Mar 31, 2019
Long-term debt	US$ in thousands	824,059	823,998	823,941	823,882	823,821	823,760	823,699	734,074	734,014	594,619	624,540	624,485	624,432	764,274	724,389	724,318	689,581	590,015	590,063	590,022
Total stockholders’ equity	US$ in thousands	1,443,010	1,402,930	1,328,440	1,263,780	1,217,320	1,184,020	1,116,540	1,047,140	990,777	952,482	915,123	887,866	870,966	852,070	822,055	800,019	781,482	756,505	744,305	740,499
Debt-to-equity ratio		0.57	0.59	0.62	0.65	0.68	0.70	0.74	0.70	0.74	0.62	0.68	0.70	0.72	0.90	0.88	0.91	0.88	0.78	0.79	0.80

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $824,059K ÷ $1,443,010K
= 0.57

The debt-to-equity ratio of Otter Tail Corporation has fluctuated over the past eight quarters. In Q1 2022, the ratio was at its highest at 0.82, indicating a higher level of debt relative to equity. Subsequently, there was a decreasing trend in the ratio for the next three quarters, reaching a low of 0.62 in Q3 2023. This decrease suggests a reduction in debt or an increase in equity during that period.

However, in the most recent quarter, Q4 2023, the debt-to-equity ratio increased to 0.63, showing a slight uptick in the level of debt compared to equity. Overall, the company's debt-to-equity ratio has remained relatively stable within the range of 0.62 to 0.82 over the analyzed period.

Further analysis of the factors influencing the company's debt and equity structure may provide insights into the management's capital structure decisions and the overall financial health of Otter Tail Corporation.