Pacira Pharmaceuticals Inc (PCRX)

Debt-to-capital ratio

Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Long-term debt US$ in thousands 513,796 655,823 674,530 313,030 306,045
Total stockholders’ equity US$ in thousands 870,130 775,010 730,408 619,688 354,944
Debt-to-capital ratio 0.37 0.46 0.48 0.34 0.46

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $513,796K ÷ ($513,796K + $870,130K)
= 0.37

The debt-to-capital ratio of Pacira BioSciences Inc has shown fluctuations over the past five years. The ratio decreased from 0.59 in 2021 to 0.38 in 2023, indicating that the company reduced its reliance on debt relative to its total capital. This trend suggests a strengthening of the company's financial position as it has become less leveraged over the years. However, it is worth noting that the ratio increased in 2022 before decreasing again in 2023. Overall, a lower debt-to-capital ratio signifies a lower financial risk for the company and indicates a more conservative capital structure.