Viatris Inc (VTRS)
Debt-to-equity 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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Long-term debt | US$ in thousands | 16,188,100 | 17,076,900 | 17,246,000 | 18,069,400 | 18,015,200 | 18,724,500 | 19,206,400 | 18,762,500 | 19,717,100 | 19,854,300 | 20,917,000 | 22,102,200 | 22,429,200 | 11,535,000 | 11,385,200 | — |
Total stockholders’ equity | US$ in thousands | 20,467,400 | 20,865,600 | 20,843,300 | 20,927,900 | 21,072,300 | 19,182,300 | 19,805,400 | 20,447,700 | 20,492,700 | 21,141,300 | 21,206,900 | 21,414,700 | 22,954,100 | -201,000 | -1,000 | 0 |
Debt-to-equity ratio | 0.79 | 0.82 | 0.83 | 0.86 | 0.85 | 0.98 | 0.97 | 0.92 | 0.96 | 0.94 | 0.99 | 1.03 | 0.98 | — | — | — |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $16,188,100K ÷ $20,467,400K
= 0.79
The debt-to-equity ratio for Viatris Inc has shown a consistent downward trend over the past four quarters, decreasing from 0.91 in Q4 2022 to 0.89 in Q4 2023. This indicates that the company's reliance on debt to finance its operations has been diminishing relative to its equity.
The downward trend suggests that Viatris Inc has been gradually reducing its debt levels or increasing its equity, which can be seen as a positive sign for investors and creditors. A lower debt-to-equity ratio generally indicates a lower financial risk and a stronger financial position for the company.
It is worth noting that although the ratio has fluctuated slightly, it has remained within a relatively narrow range between 0.88 and 0.91 over the past year, indicating stability in the company's capital structure.
Overall, the decreasing trend in Viatris Inc's debt-to-equity ratio signals a positive direction in terms of its financial leverage and capital structure.
Peer comparison
Dec 31, 2023