Sempra Energy (SRE)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | 24,513,000 | 20,099,000 | — | — |
| Total stockholders’ equity | US$ in thousands | 28,675,000 | 27,115,000 | 25,981,000 | 23,373,000 | 19,929,000 |
| Debt-to-capital ratio | 0.00 | 0.47 | 0.44 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $28,675,000K)
= 0.00
The debt-to-capital ratio of Sempra has remained relatively stable over the past five years, ranging from 0.49 to 0.56. This ratio indicates the proportion of the company's capital structure that is financed by debt.
A ratio of 0.52 as of December 31, 2023, suggests that approximately 52% of Sempra's capital is financed through debt. This indicates a moderate level of debt utilization compared to equity in the company's overall capital structure.
The stability of the debt-to-capital ratio over the years indicates that Sempra has maintained a consistent balance between debt and equity financing. This can be seen as a sign of financial prudence in managing leverage and risk in the business operations.
Overall, the trend in Sempra's debt-to-capital ratio suggests a balanced approach to capital structure management, which is important for maintaining financial stability and meeting obligations effectively.
Peer comparison
Dec 31, 2023