RadNet Inc (RDNT)

Debt-to-equity ratio

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 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
Long-term debt US$ in thousands 991,574 996,272 1,002,390 814,442 812,068 844,302 848,333 852,354 839,344 735,500 737,916 740,707 743,498 746,288 749,079 602,684 612,913 627,226 634,960 723,049
Total stockholders’ equity US$ in thousands 902,308 895,313 880,966 872,955 630,695 618,901 593,159 327,922 332,995 313,006 312,183 298,847 228,904 224,837 197,064 184,358 165,743 157,205 147,808 123,375
Debt-to-equity ratio 1.10 1.11 1.14 0.93 1.29 1.36 1.43 2.60 2.52 2.35 2.36 2.48 3.25 3.32 3.80 3.27 3.70 3.99 4.30 5.86

December 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $991,574K ÷ $902,308K
= 1.10

The debt-to-equity ratio of RadNet Inc has been trending downwards over the past few years, indicating a decreasing reliance on debt to finance its operations compared to equity. As of December 31, 2024, the debt-to-equity ratio stands at 1.10, suggesting that the company has more equity relative to debt in its capital structure. This ratio has gradually declined from 5.86 on March 31, 2020, indicating an improvement in the company's financial leverage and potentially lower financial risk.

The decreasing trend in the debt-to-equity ratio may signify that RadNet Inc is managing its debt levels effectively and maintaining a healthy balance between debt and equity financing. A lower debt-to-equity ratio can provide greater financial stability and flexibility, as it indicates a lower risk of insolvency and financial distress. Additionally, a declining ratio may also reflect positively on the company's ability to generate sufficient profits and cash flows to support its operations without relying heavily on debt.

Overall, the decreasing debt-to-equity ratio of RadNet Inc suggests a favorable financial position and prudent financial management, which may enhance investor confidence and support sustainable growth in the long term.