Sensient Technologies Corporation (SXT)

Debt-to-capital ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Long-term debt	US$ in thousands	645,085	648,556	686,589	679,779	630,331	547,190	498,715	530,005	503,006	490,901	483,230	524,244	518,004	537,124	537,680	589,339	598,499	616,967	656,737	688,952
Total stockholders’ equity	US$ in thousands	1,053,320	1,057,660	1,054,260	1,028,220	999,598	954,514	958,967	961,710	938,425	939,392	944,277	925,646	934,336	896,785	860,716	842,658	881,589	896,673	897,482	877,724
Debt-to-capital ratio		0.38	0.38	0.39	0.40	0.39	0.36	0.34	0.36	0.35	0.34	0.34	0.36	0.36	0.37	0.38	0.41	0.40	0.41	0.42	0.44

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $645,085K ÷ ($645,085K + $1,053,320K)
= 0.38

The debt-to-capital ratio of Sensient Technologies Corp. has shown some fluctuations over the past eight quarters. The ratio decreased from 0.41 in Q1 2023 to 0.38 in Q4 2023, indicating a reduction in the proportion of debt relative to the total capital employed by the company. While the ratio has generally exhibited a downward trend since Q2 2022, there was a slight uptick in Q2 and Q3 2023 before the decrease observed in Q4 2023.

Overall, the company has maintained a moderate level of debt relative to its total capital over the period analyzed, with the ratio ranging between 0.35 and 0.41. This suggests that Sensient Technologies Corp. relies on a combination of debt and equity funding for its operations and investments. It is important for investors and creditors to monitor this ratio to assess the company's leverage and financial risk profile.