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.