Penn National Gaming Inc (PENN)

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 2,718,000 2,715,400 2,722,800 2,721,400 2,721,300 2,730,200 2,730,400 2,694,300 2,637,300 2,654,400 2,269,900 2,289,500 2,231,200 2,355,700 3,044,800 2,829,300 2,322,200 2,392,000 2,489,610 2,311,380
Total stockholders’ equity US$ in thousands 3,202,100 3,482,600 4,210,300 4,176,300 3,597,700 3,617,100 3,766,800 3,953,500 4,097,800 3,071,900 2,958,300 2,756,300 2,656,200 2,633,700 1,506,200 1,278,400 1,852,700 1,939,800 1,891,910 1,861,820
Debt-to-equity ratio 0.85 0.78 0.65 0.65 0.76 0.75 0.72 0.68 0.64 0.86 0.77 0.83 0.84 0.89 2.02 2.21 1.25 1.23 1.32 1.24

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $2,718,000K ÷ $3,202,100K
= 0.85

The debt-to-equity ratio of PENN Entertainment Inc has shown fluctuations over the past eight quarters. In Q4 2023, the ratio stood at 1.62, indicating that the company had $1.62 in debt for every $1 of equity. This represents an increase from the previous quarter, where the ratio was 1.50. Prior to this, in Q2 and Q1 2023, the ratio stood at 1.24 and 1.25 respectively, showing a decreasing trend from the earlier quarters.

Comparing the recent ratios with those from the same period in the previous year, there has been a substantial improvement. In Q4 2022, the debt-to-equity ratio was 3.30, which has since decreased significantly to 1.62 in Q4 2023. This indicates that the company has effectively reduced its reliance on debt to finance its operations and has strengthened its equity position over time.

Overall, while there were fluctuations in the debt-to-equity ratio of PENN Entertainment Inc over the past eight quarters, the company has demonstrated an improvement in managing its debt levels and optimizing its capital structure to enhance financial stability and sustainability.