T-Mobile US Inc (TMUS)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 71,399,000 | 66,796,000 | 67,076,000 | 61,830,000 | 10,958,000 |
| Total stockholders’ equity | US$ in thousands | 64,715,000 | 69,656,000 | 69,102,000 | 65,344,000 | 28,789,000 |
| Debt-to-capital ratio | 0.52 | 0.49 | 0.49 | 0.49 | 0.28 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $71,399,000K ÷ ($71,399,000K + $64,715,000K)
= 0.52
The debt-to-capital ratio of T-Mobile US Inc has shown a moderately increasing trend from 0.51 in 2019 to 0.56 in 2023. This indicates that the company has been relying more on debt financing compared to equity financing over the years. The ratio exceeding 0.5 suggests that T-Mobile US Inc's capital structure is leaning towards a higher proportion of debt relative to total capital, which may increase the company's financial risk and leverage. It is important to closely monitor this ratio in the future to ensure that the company's debt levels are sustainable and manageable.