United Therapeutics Corporation (UTHR)

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	300,000	500,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	800,000	600,000	750,000	800,000	1,050,000
Total stockholders’ equity	US$ in thousands	5,984,800	5,712,100	5,411,000	5,123,200	4,796,700	4,562,200	4,318,400	4,176,300	3,958,900	3,829,700	3,639,500	3,445,400	3,395,200	3,283,100	3,093,700	2,948,500	2,780,400	2,715,800	2,558,400	2,319,000
Debt-to-capital ratio		0.05	0.08	0.13	0.14	0.14	0.15	0.16	0.16	0.17	0.17	0.18	0.19	0.19	0.20	0.21	0.21	0.18	0.22	0.24	0.31

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $300,000K ÷ ($300,000K + $5,984,800K)
= 0.05

The debt-to-capital ratio of United Therapeutics Corp has shown a decreasing trend over the past eight quarters, indicating a gradual reduction in the company's reliance on debt to finance its operations compared to its overall capital structure.

The ratio has decreased from 0.16 in Q1 2022 to 0.10 in Q4 2023. This suggests that the company has been improving its financial health by reducing its debt relative to its total capital. A lower debt-to-capital ratio generally indicates a stronger financial position and lower financial risk for the company.

Overall, the decreasing trend in the debt-to-capital ratio reflects a positive development in United Therapeutics Corp's financial leverage and ability to fund its operations with a lower proportion of debt in relation to its total capital. This could potentially enhance the company's resilience to economic downturns and financial challenges in the future.