RXO Inc. (RXO)
Debt-to-capital ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | ||
|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 594,000 | 590,000 | 589,000 | 585,000 | 587,000 | 1,144,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $594,000K)
= 0.00
Based on the data provided, the debt-to-capital ratio of RXO Inc. has remained consistently at 0.00 for the past six quarters. A debt-to-capital ratio of 0.00 indicates that the company has not utilized any debt to finance its operations relative to its total capital structure over this period. This could imply that RXO Inc. has been financing its operations primarily using equity rather than debt.
While a debt-to-capital ratio of 0.00 may suggest a low financial risk due to the absence of debt obligations, it is essential to consider the company's overall capital structure and financial strategy. It would be beneficial to further investigate the reasons behind the consistent zero debt-to-capital ratio and assess the company's financial health, growth prospects, and future financing plans.
Peer comparison
Dec 31, 2023