Wabash National Corporation (WNC)
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 | 396,465 | 396,300 | 396,138 | 395,977 | 395,818 | 443,662 | 454,506 | 484,354 | 428,315 | 419,130 | 418,900 | 448,214 | 447,979 | 457,222 | 455,800 | 500,591 | 455,386 | 475,122 | 489,865 | 502,757 |
Total stockholders’ equity | US$ in thousands | 549,496 | 518,687 | 481,024 | 424,443 | 397,613 | 360,102 | 338,171 | 342,253 | 325,539 | 386,194 | 399,980 | 402,302 | 404,879 | 397,365 | 393,217 | 393,969 | 520,988 | 515,058 | 501,565 | 483,606 |
Debt-to-capital ratio | 0.42 | 0.43 | 0.45 | 0.48 | 0.50 | 0.55 | 0.57 | 0.59 | 0.57 | 0.52 | 0.51 | 0.53 | 0.53 | 0.54 | 0.54 | 0.56 | 0.47 | 0.48 | 0.49 | 0.51 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $396,465K ÷ ($396,465K + $549,496K)
= 0.42
The debt-to-capital ratio of Wabash National Corp. has been on a declining trend over the past eight quarters. The ratio decreased from 0.59 in Q1 2022 to 0.42 in Q4 2023. This indicates that the company has been reducing its reliance on debt to finance its operations and investments relative to its total capital.
A lower debt-to-capital ratio suggests a healthier financial position as it reflects lower financial risk and greater financial stability. Wabash National Corp.'s decreasing debt-to-capital ratio may indicate improved financial strength and a more conservative approach to managing its capital structure.
Overall, the downward trend in the debt-to-capital ratio for Wabash National Corp. suggests that the company has been making efforts to strengthen its balance sheet and reduce its leverage, which could enhance its ability to weather economic uncertainties and capitalize on growth opportunities.