R1 RCM Inc (RCM)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,570,500 | 1,646,000 | — | 1,707,000 | 1,732,600 | 1,728,100 | 1,749,200 |
| Total stockholders’ equity | US$ in thousands | 2,751,400 | 2,743,400 | 2,725,000 | 2,702,700 | 2,702,500 | 2,749,200 | 2,733,600 |
| Debt-to-capital ratio | 0.36 | 0.37 | 0.00 | 0.39 | 0.39 | 0.39 | 0.39 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,570,500K ÷ ($1,570,500K + $2,751,400K)
= 0.36
The debt-to-capital ratio of R1 RCM Inc. has displayed a downward trend in the past four quarters from Q1 2022 to Q4 2023. The ratio decreased from 0.68 in Q1 2022 to 0.37 in Q4 2023. This indicates that the company has been successful in reducing its reliance on debt as a source of capital over this period, which can be seen as a positive sign for investors and creditors. A decreasing trend in the debt-to-capital ratio suggests that the company is becoming more financially stable and may have improved its ability to meet its financial obligations without overleveraging itself. Investors and analysts often view a declining debt-to-capital ratio as a positive signal of financial health and management efficiency.
Peer comparison
Dec 31, 2023