RadNet Inc (RDNT)
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 | 812,068 | 839,344 | 743,498 | 612,913 | 652,979 |
| Total stockholders’ equity | US$ in thousands | 630,695 | 332,995 | 228,904 | 165,743 | 151,685 |
| Debt-to-capital ratio | 0.56 | 0.72 | 0.76 | 0.79 | 0.81 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $812,068K ÷ ($812,068K + $630,695K)
= 0.56
The debt-to-capital ratio of Radnet Inc has shown a declining trend in recent years, decreasing from 0.82 in 2019 to 0.57 in 2023. This suggests that the company has been reducing its reliance on debt to finance its operations and investments, thereby improving its overall financial stability. A lower debt-to-capital ratio indicates a lower financial risk for the company as it has a higher proportion of capital provided by equity rather than debt. This trend implies that Radnet Inc may have been managing its debt levels effectively and may be in a better position to weather economic downturns or financial challenges. Overall, the decreasing debt-to-capital ratio reflects a positive financial strategy employed by Radnet Inc in recent years.
Peer comparison
Dec 31, 2023