Travel + Leisure Co (TNL)

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	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	5,575,000	5,541,000	5,432,000	5,291,000
Total stockholders’ equity	US$ in thousands	-918,000	-1,008,000	-1,014,000	-984,000	-913,000	-911,000	-854,000	-819,000	-801,000	-857,000	-925,000	-983,000	-975,000	-1,000,000	-1,056,000	-897,000	-530,000	-576,000	-565,000	-589,000
Debt-to-capital ratio		—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	1.11	1.12	1.12	1.13

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $-918,000K)
= —

The debt-to-capital ratio of Travel+Leisure Co has been relatively stable over the past eight quarters, ranging between 1.18 and 1.22. This ratio measures the proportion of the company's capital that is financed through debt, with values above 1 indicating that debt is a significant component of the company's capital structure.

The consistent range of the debt-to-capital ratio implies that Travel+Leisure Co has maintained a relatively steady level of debt relative to its total capital over the period analyzed. This stability could indicate that the company has a controlled approach to managing its debt levels and is not significantly increasing or decreasing its debt proportion over time.

However, a ratio above 1.0 suggests that Travel+Leisure Co relies more on debt financing than equity financing to support its operations and growth. Investors and creditors may monitor this ratio closely to assess the company's financial risk and leverage levels. It would be beneficial for the company to continue monitoring and managing its debt levels to ensure financial stability and sustainability in the long term.