Vector Group Ltd (VGR)
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 | — | — | — | — | — | 1,389,160 | 1,400,700 | 1,399,630 | 1,398,590 | 1,400,880 | 1,402,830 | 1,405,400 | 1,393,730 | 1,395,960 | 1,398,190 | 1,395,620 | 1,397,220 | 1,178,240 | 1,180,150 | 1,387,940 |
| Total stockholders’ equity | US$ in thousands | -741,814 | -773,355 | -797,125 | -805,772 | -807,877 | -823,310 | -830,912 | -840,652 | -841,553 | -575,012 | -592,045 | -656,499 | -659,687 | -662,119 | -669,204 | -718,999 | -685,464 | -629,161 | -607,184 | -590,589 |
| Debt-to-capital ratio | — | — | — | — | — | 2.45 | 2.46 | 2.50 | 2.51 | 1.70 | 1.73 | 1.88 | 1.90 | 1.90 | 1.92 | 2.06 | 1.96 | 2.15 | 2.06 | 1.74 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $-741,814K)
= —
The debt-to-capital ratio of Vector Group Ltd has been consistently high over the past eight quarters, ranging from 2.18 to 2.50. This indicates that a significant portion of the company's capital structure is funded through debt rather than equity.
A high debt-to-capital ratio can imply that the company may be more leveraged and therefore more vulnerable to economic downturns or fluctuations in interest rates. It could also suggest that the company may have challenges in meeting its debt obligations in the future.
It is important for investors and stakeholders to closely monitor Vector Group Ltd's debt levels and assess the company's ability to manage its debt burden effectively. Management should focus on implementing strategies to reduce debt levels or improve profitability to lower the debt-to-capital ratio and strengthen the company's financial position.
Peer comparison
Dec 31, 2023