RadNet Inc (RDNT)
Debt-to-equity 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-equity ratio | 1.29 | 2.52 | 3.25 | 3.70 | 4.30 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $812,068K ÷ $630,695K
= 1.29
The debt-to-equity ratio of Radnet Inc has been trending downwards over the past five years, indicating a decreasing reliance on debt to finance its operations compared to equity. In 2019, the ratio was at its highest at 4.61, indicating that the company had a higher proportion of debt in its capital structure relative to equity.
Since then, there has been a consistent decrease in the ratio, reaching 1.32 by the end of 2023. This suggests that Radnet Inc has been reducing its debt levels in comparison to equity over the years. A lower debt-to-equity ratio generally indicates a lower financial risk for the company as it is less leveraged.
Overall, the decreasing trend in the debt-to-equity ratio of Radnet Inc shows a positive development in the company's capital structure and financial health, as it has been moving towards a more balanced mix of debt and equity to fund its operations.
Peer comparison
Dec 31, 2023