VeriSign Inc (VRSN)

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	1,790,200	1,789,600	1,789,000	1,788,500	1,787,900	1,787,400	1,786,800	1,786,300	1,785,700	1,785,150	1,784,650	1,790,710	1,790,080	1,789,450	1,788,820	1,788,190	1,787,560	1,786,940	1,786,310	1,785,680
Total stockholders’ equity	US$ in thousands	-1,581,000	-1,633,400	-1,617,900	-1,593,800	-1,562,200	-1,542,400	-1,455,000	-1,285,100	-1,260,500	-1,417,600	-1,417,900	-1,403,800	-1,390,200	-1,386,250	-1,400,320	-1,409,110	-1,490,100	-1,451,920	-1,425,170	-1,406,130
Debt-to-capital ratio		8.56	11.46	10.46	9.19	7.92	7.30	5.39	3.56	3.40	4.86	4.87	4.63	4.48	4.44	4.60	4.72	6.01	5.33	4.95	4.70

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,790,200K ÷ ($1,790,200K + $-1,581,000K)
= 8.56

Verisign Inc.'s debt-to-capital ratio has shown a fluctuating trend over the past eight quarters. The ratio has generally been on an upward trajectory, reaching a peak of 11.46% in Q3 2023 before slightly decreasing to 10.46% in Q2 2023. This indicates that the company has been relying more on debt compared to its total capital structure during these periods.

While the ratios are higher in more recent quarters, they have consistently remained below 12%, suggesting that the company's debt levels have remained manageable relative to its total capital. However, the significant increase from 3.56% in Q1 2022 to 8.56% in Q4 2023 raises some concerns about the potential impacts of increased debt on the company's financial health and risk profile.

Overall, Verisign Inc. should closely monitor its debt levels and capital structure to ensure a healthy balance that supports its long-term financial stability and growth.