XPO Logistics Inc (XPO)

Debt-to-capital ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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	3,325,000	3,343,000	3,330,000	3,323,000	3,335,000	2,447,000	2,452,000	2,478,000	2,473,000	2,848,000	2,857,000	2,877,000	3,513,000	3,515,000	5,181,000	5,162,000	5,240,000	6,545,000	6,939,000	5,766,000
Total stockholders’ equity	US$ in thousands	1,601,000	1,641,000	1,499,000	1,332,000	1,266,000	1,197,000	1,119,000	1,055,000	1,012,000	1,786,000	1,707,000	1,598,000	1,138,000	1,016,000	2,927,000	2,776,000	2,709,000	2,649,000	2,484,000	2,578,000
Debt-to-capital ratio		0.67	0.67	0.69	0.71	0.72	0.67	0.69	0.70	0.71	0.61	0.63	0.64	0.76	0.78	0.64	0.65	0.66	0.71	0.74	0.69

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $3,325,000K ÷ ($3,325,000K + $1,601,000K)
= 0.67

The Debt-to-Capital ratio of XPO Logistics Inc has shown some fluctuations over the past few years, but has generally remained within a moderate range. The ratio decreased from 0.69 as of March 31, 2020 to 0.63 as of June 30, 2022, indicating a reduction in the proportion of debt to total capital during this period. However, the ratio increased to 0.78 as of September 30, 2021, suggesting a higher reliance on debt to finance the company's operations at that point in time.

Overall, the Debt-to-Capital ratio has hovered around the 0.7 mark in recent periods, which indicates that approximately 70% of the company's capital structure is financed through debt. It is important to closely monitor this ratio to assess the company's financial leverage and risk exposure, as higher levels of debt relative to capital can increase financial risk, especially during economic downturns or in times of rising interest rates.