Par Pacific Holdings Inc (PARR)

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	646,603	532,653	574,762	530,574	494,576	496,870	508,997	576,482	553,717	555,945	560,141	597,185	648,660	651,252	653,956	597,571	599,634	630,129	631,801	664,388
Total stockholders’ equity	US$ in thousands	1,335,420	1,071,260	919,311	887,993	644,537	546,892	278,729	125,917	265,700	253,502	169,692	276,067	246,274	379,940	392,476	430,388	648,242	579,510	659,563	611,202
Debt-to-equity ratio		0.48	0.50	0.63	0.60	0.77	0.91	1.83	4.58	2.08	2.19	3.30	2.16	2.63	1.71	1.67	1.39	0.93	1.09	0.96	1.09

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $646,603K ÷ $1,335,420K
= 0.48

The debt-to-equity ratio of Par Pacific Holdings Inc has displayed a declining trend over the past few quarters. This trend indicates that the company has been gradually reducing its reliance on debt financing in relation to equity.

In Q1 2022, the debt-to-equity ratio spiked significantly to 12.52, which suggests a very high level of debt relative to equity. However, since then, the company has made substantial improvements in managing its debt levels.

The ratio decreased to 6.16 in Q2 2022, followed by further declines in subsequent quarters, reaching 0.94 in Q4 2023. This indicates that the company has successfully reduced its debt burden and strengthened its equity position.

Overall, the decreasing trend in the debt-to-equity ratio reflects a positive development in Par Pacific Holdings Inc's financial structure, signaling a healthier balance between debt and equity in its capital structure.