Telephone and Data Systems Inc (TDS)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 5,202,000 | 5,726,000 | 5,752,000 | 5,816,000 | 5,849,000 | 5,904,000 | 5,939,000 | 5,960,000 | 5,927,000 | 5,911,000 | 5,221,000 | 5,252,000 | 4,804,000 | 4,804,000 | 4,738,000 | 4,720,000 | 4,653,000 | 4,646,000 | 4,625,000 | 4,611,000 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $5,202,000K)
= 0.00
The debt-to-capital ratio of Telephone And Data Systems, Inc. has shown a gradual increase over the past eight quarters. It has risen from 0.37 in Q2 2022 to 0.44 in Q4 2023. This indicates that the company's reliance on debt as a source of financing relative to its total capital base has been growing.
A debt-to-capital ratio of 0.44 in Q4 2023 implies that 44% of the company's capital structure is funded by debt, while the remaining 56% is funded by equity. This level of debt relative to capital may suggest that the company has been increasingly leveraging its operations through borrowing.
The trend of increasing debt-to-capital ratios could indicate a higher risk exposure for Telephone And Data Systems, Inc., as a higher proportion of debt in the capital structure brings along associated risks such as interest payments, debt covenants, and potential financial distress. It is important for investors and stakeholders to monitor this trend closely to assess the company's financial health and sustainability of its capital structure.
Peer comparison
Dec 31, 2023