Xcel Energy Inc (XEL)

Debt-to-capital ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Long-term debt	US$ in thousands	22,927,000	20,897,000	25,232,000	24,412,000	20,227,000
Total stockholders’ equity	US$ in thousands	17,616,000	16,675,000	15,612,000	14,575,000	13,239,000
Debt-to-capital ratio		0.57	0.56	0.62	0.63	0.60

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $22,927,000K ÷ ($22,927,000K + $17,616,000K)
= 0.57

The debt-to-capital ratio of Xcel Energy, Inc. has been relatively stable over the past five years, ranging from 0.59 to 0.60. This indicates that the company's level of debt relative to its total capital has remained consistent. A debt-to-capital ratio of 0.60 means that 60% of the company's capital structure is made up of debt, while the remaining 40% is contributed by equity. This ratio suggests that Xcel Energy relies moderately on debt to finance its operations and investments, which is a common practice among utility companies that require significant capital expenditures.

Overall, a stable debt-to-capital ratio indicates that Xcel Energy has been maintaining a relatively balanced capital structure over the years, utilizing a mix of debt and equity to fund its activities. It is important for the company to continue monitoring and managing its debt levels to ensure financial stability and flexibility for future growth and operations.