Sensient Technologies Corporation (SXT)

Debt-to-equity 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-equity ratio		0.61	0.61	0.65	0.66	0.63	0.57	0.52	0.55	0.54	0.52	0.51	0.57	0.55	0.60	0.62	0.70	0.68	0.69	0.73	0.78

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $645,085K ÷ $1,053,320K
= 0.61

The debt-to-equity ratio of Sensient Technologies Corp. has shown some fluctuations over the past eight quarters. The ratio ranged from 0.55 to 0.69 during this period.

In Q4 2023 and Q3 2023, the company maintained a stable debt-to-equity ratio of 0.63, indicating a moderate level of leverage with debt being approximately 63% of equity.

The ratio slightly increased to 0.67 in Q2 2023, and further to 0.69 in Q1 2023, suggesting a higher proportion of debt relative to equity during these periods.

Comparing to the previous year, Sensient's debt-to-equity ratio was relatively consistent, fluctuating between 0.55 and 0.65. However, the ratio has shown an increasing trend in the most recent quarters.

Overall, the trend in the debt-to-equity ratio indicates that the company's reliance on debt financing has been gradually increasing, which can imply a higher level of financial risk and leverage in its capital structure. Further monitoring of this trend is advisable to assess the potential impact on the company's financial health and stability.