Sempra Energy (SRE)
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 | — | 27,716,000 | 24,513,000 | 20,099,000 | — |
| Total stockholders’ equity | US$ in thousands | 31,222,000 | 28,675,000 | 27,115,000 | 25,981,000 | 23,373,000 |
| Debt-to-capital ratio | 0.00 | 0.49 | 0.47 | 0.44 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $31,222,000K)
= 0.00
The debt-to-capital ratio of Sempra Energy has shown a fluctuating trend over the years.
At the end of 2020, the company had a debt-to-capital ratio of 0.00, indicating that it had no debt relative to its capital structure. This suggests a low level of financial leverage at that time.
From 2021 to 2024, the debt-to-capital ratio gradually increased, reaching 0.49 by the end of 2023. This upward trend indicates that Sempra Energy has been relying more on debt to finance its operations and investments relative to its total capital.
However, the ratio dropped back to 0.00 by the end of 2024, which may suggest that the company either paid off a significant amount of debt or adjusted its capital structure in a way that reduced the debt component.
Overall, the increasing debt-to-capital ratio from 2021 to 2023 might indicate a higher level of financial risk, as the company became more leveraged during this period. It is essential for investors and stakeholders to monitor this ratio closely to assess Sempra Energy's financial health and ability to manage its debt obligations effectively.
Peer comparison
Dec 31, 2024