Bristow Group Inc (VTOL)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Mar 31, 2022 | Mar 31, 2021 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 534,823 | 499,765 | 512,909 | 527,528 | 141,832 |
| Total stockholders’ equity | US$ in thousands | 823,687 | 787,307 | 835,815 | 897,613 | 459,554 |
| Debt-to-capital ratio | 0.39 | 0.39 | 0.38 | 0.37 | 0.24 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $534,823K ÷ ($534,823K + $823,687K)
= 0.39
The debt-to-capital ratio of Bristow Group Inc has been relatively stable over the past five reporting periods, ranging from 0.24 to 0.39. This ratio indicates the proportion of the company's total capitalization that is financed by debt. A higher ratio suggests a higher level of financial leverage and risk, as debt plays a significant role in funding the company's operations and growth.
In Bristow Group Inc's case, the consistent debt-to-capital ratio hovering around 0.39 implies that a significant portion of its capital structure is debt-funded, which may indicate a moderate level of risk. However, it is notable that the ratio has increased over the years, suggesting that the company has been relying more on debt to finance its operations and investments.
Overall, while the stable debt-to-capital ratio indicates a consistent financing strategy, investors and stakeholders should continue to monitor the company's debt levels and assess its ability to manage debt effectively to ensure financial stability and sustainability in the long term.