UGI Corporation (UGI)
Debt-to-capital ratio
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 6,443,000 | 6,543,000 | 6,483,000 | 6,339,000 | 5,981,000 |
| Total stockholders’ equity | US$ in thousands | 4,345,000 | 4,386,000 | 6,066,000 | 5,522,000 | 4,128,000 |
| Debt-to-capital ratio | 0.60 | 0.60 | 0.52 | 0.53 | 0.59 |
September 30, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $6,443,000K ÷ ($6,443,000K + $4,345,000K)
= 0.60
The debt-to-capital ratio of UGI Corporation has varied over the last five years, indicating changes in the company's financial leverage. In 2024 and 2023, the ratio was consistent at 0.60, suggesting the company maintained a stable level of debt relative to its total capital during these years.
In 2022, the ratio decreased to 0.52, indicating a lower reliance on debt financing compared to the previous year. This could be a positive sign as it suggests a healthier balance between debt and equity in the company's capital structure.
The ratio increased slightly to 0.53 in 2021, which could suggest a moderate increase in debt relative to capital. In 2020, the ratio was slightly higher at 0.59, indicating a higher proportion of debt in the company's capital structure compared to the previous year.
Overall, the trend in the debt-to-capital ratio for UGI Corporation shows some fluctuations, but the company has generally maintained a moderate level of debt relative to capital over the five-year period. Investors and stakeholders may consider analyzing the reasons behind these fluctuations and how they align with the company's overall financial strategy.
Peer comparison
Sep 30, 2024