TRI Pointe Homes Inc (TPH)

Debt-to-capital ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Long-term debt US$ in thousands
Total stockholders’ equity US$ in thousands 3,335,710 3,010,960 2,832,390 2,447,620 2,232,540
Debt-to-capital ratio 0.00 0.00 0.00 0.00 0.00

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $3,335,710K)
= 0.00

The debt-to-capital ratio of TRI Pointe Homes Inc has consistently been 0.00 from December 31, 2020, to December 31, 2024. This indicates that the company has not used debt as a significant source of financing relative to its capital structure during this period. A debt-to-capital ratio of 0.00 suggests that the company has relied more on equity financing rather than debt financing to run its operations and fund its growth. It may reflect a conservative approach to leverage, which could be positive in terms of financial stability and risk management. However, it's important to note that a very low debt-to-capital ratio might also limit the company's ability to take advantage of potential growth opportunities that could be funded through debt.