TTM Technologies Inc (TTMI)
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 | 914,336 | 879,407 | 927,818 | 842,853 | 1,225,960 |
| Total stockholders’ equity | US$ in thousands | 1,511,040 | 1,535,580 | 1,455,420 | 1,444,010 | 1,279,040 |
| Debt-to-capital ratio | 0.38 | 0.36 | 0.39 | 0.37 | 0.49 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $914,336K ÷ ($914,336K + $1,511,040K)
= 0.38
The debt-to-capital ratio of TTM Technologies Inc has fluctuated over the past five years, ranging from 0.36 in 2022 to 0.49 in 2019. In 2023, the ratio decreased slightly to 0.38 compared to the previous year. This indicates that TTM Technologies Inc relies on debt for approximately 38% of its capital structure, while the remaining 62% is funded by equity. The downward trend in the debt-to-capital ratio over the years may suggest that the company is gradually reducing its reliance on debt to finance its operations and investments. However, it is important to note that a moderate level of debt can be beneficial for a company to take advantage of growth opportunities and tax benefits. Overall, a debt-to-capital ratio of 0.38 in 2023 indicates a reasonable balance between debt and equity in TTM Technologies Inc's capital structure.
Peer comparison
Dec 31, 2023