SunCoke Energy Inc (SXC)
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 | 490,300 | 528,900 | 610,400 | 673,900 | 780,000 |
| Total stockholders’ equity | US$ in thousands | 614,200 | 585,600 | 498,100 | 469,000 | 491,600 |
| Debt-to-equity ratio | 0.80 | 0.90 | 1.23 | 1.44 | 1.59 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $490,300K ÷ $614,200K
= 0.80
The debt-to-equity ratio of SunCoke Energy Inc has demonstrated a downward trend over the past five years. In 2019, the ratio stood at its highest level of 1.59, indicating a higher reliance on debt to finance its operations compared to equity.
Subsequently, the ratio decreased to 1.44 in 2020, followed by further declines to 1.23 in 2021, and then to 0.91 in 2022. This downward trend suggests that the company has been reducing its debt levels relative to its equity position.
In 2023, the debt-to-equity ratio declined even further to 0.80, indicating a relatively lower level of debt compared to equity in the company's capital structure. This reduction in the ratio could signify improved financial stability and potentially lower financial risk for SunCoke Energy Inc.
Overall, the decreasing trend in the debt-to-equity ratio reflects the company's efforts to manage its debt levels and strengthen its financial position by increasing reliance on equity financing compared to debt financing in recent years.
Peer comparison
Dec 31, 2023