RadNet Inc (RDNT)

Debt-to-capital ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Long-term debt US$ in thousands 991,574 812,068 839,344 743,498 612,913
Total stockholders’ equity US$ in thousands 902,308 630,695 332,995 228,904 165,743
Debt-to-capital ratio 0.52 0.56 0.72 0.76 0.79

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $991,574K ÷ ($991,574K + $902,308K)
= 0.52

The debt-to-capital ratio of RadNet Inc has been showing a decreasing trend over the last five years. Starting at 0.79 in December 31, 2020, the ratio has steadily declined to 0.52 by December 31, 2024. This indicates that the company has been reducing its level of debt relative to its total capital over these years. A decreasing debt-to-capital ratio generally suggests improved financial health and decreased risk associated with debt financing. RadNet Inc's decreasing ratio may indicate a more conservative approach to capital structure management and a potential positive impact on the company's long-term financial stability.