WEC Energy Group Inc (WEC)

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	15,366,900	—	—	—	14,655,700	—	—	—	13,472,400	—	—	—	11,672,800	—	—	—	11,171,400	10,897,300	9,921,000	10,326,700
Total stockholders’ equity	US$ in thousands	11,754,600	11,783,400	11,711,800	11,667,000	11,407,300	11,385,900	11,321,000	11,273,600	10,943,600	10,938,900	10,861,300	10,797,500	10,500,100	10,481,100	10,414,100	10,374,500	10,143,800	10,081,400	10,046,600	10,014,900
Debt-to-capital ratio		0.57	0.00	0.00	0.00	0.56	0.00	0.00	0.00	0.55	0.00	0.00	0.00	0.53	0.00	0.00	0.00	0.52	0.52	0.50	0.51

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $15,366,900K ÷ ($15,366,900K + $11,754,600K)
= 0.57

The debt-to-capital ratio for WEC Energy Group Inc has been gradually increasing over the past eight quarters. It has risen consistently from 0.57 in Q1 2022 to 0.62 in Q4 2023. This suggests that the company has been relying more on debt financing relative to its total capital structure over time.

A higher debt-to-capital ratio may indicate that WEC Energy Group Inc is becoming more leveraged, potentially increasing its financial risk. It could also imply that the company is taking advantage of the current low-interest-rate environment to fund growth opportunities or capital expenditures.

Investors and stakeholders should monitor this trend closely to ensure that the company's increasing debt levels are sustainable and in line with its overall financial strategy. It is essential for WEC Energy Group Inc to manage its debt levels prudently to maintain its financial stability and creditworthiness in the long term.