RBC Bearings Incorporated (RBC)
Debt-to-capital ratio
| Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,188,100 | 1,262,800 | 1,321,900 | 1,343,300 | 1,393,500 | 1,462,530 | 1,520,600 | 1,563,800 | 1,686,800 | 1,726,730 | 7,105 | 10,249 | 13,495 | 14,366 | 13,758 | 16,635 | 16,583 | 16,160 | 25,003 | 26,267 |
| Total stockholders’ equity | US$ in thousands | 2,751,900 | 2,696,600 | 2,634,200 | 2,587,700 | 2,535,900 | 2,480,900 | 2,440,100 | 2,397,600 | 2,372,500 | 2,337,950 | 2,340,960 | 1,275,970 | 1,232,100 | 1,204,810 | 1,172,100 | 1,142,640 | 1,122,900 | 1,079,210 | 1,041,840 | 997,349 |
| Debt-to-capital ratio | 0.30 | 0.32 | 0.33 | 0.34 | 0.35 | 0.37 | 0.38 | 0.39 | 0.42 | 0.42 | 0.00 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.01 | 0.02 | 0.03 |
March 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,188,100K ÷ ($1,188,100K + $2,751,900K)
= 0.30
The debt-to-capital ratio of RBC Bearings Incorporated has shown a gradual increase over the past few quarters, indicating an increasing reliance on debt to finance its operations and investments. The ratio stood at 0.30 as of March 31, 2024, compared to 0.32 at the end of December 31, 2023. This suggests that the company's debt represents 30% of its total capital structure, comprised of both debt and equity.
The trend of the debt-to-capital ratio rising from 0.30 to 0.42 over the past few quarters may raise concerns about the company's financial leverage and ability to manage its debt obligations effectively. It is essential for investors and stakeholders to closely monitor this ratio to assess the company's financial health and risk profile. The sudden drop in the ratio from 0.42 to 0.00 at September 30, 2021, followed by a gradual increase to 0.30 suggests potential irregularities or unique events affecting the capital structure during that period.
Further analysis of the company's debt levels, capital structure, and overall financial performance would be necessary to provide a more comprehensive evaluation of RBC Bearings' debt-to-capital ratio.
Peer comparison
Mar 31, 2024