Zimmer Biomet Holdings Inc (ZBH)

Debt-to-equity ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Long-term debt US$ in thousands 5,341,600 4,867,900 5,152,200 5,463,700 7,626,500
Total stockholders’ equity US$ in thousands 12,468,100 12,480,500 12,020,300 12,660,700 12,194,200
Debt-to-equity ratio 0.43 0.39 0.43 0.43 0.63

December 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $5,341,600K ÷ $12,468,100K
= 0.43

The debt-to-equity ratio of Zimmer Biomet Holdings Inc has shown a decreasing trend over the past five years, declining from 0.63 on December 31, 2020, to 0.43 as of December 31, 2021, where it remained constant until December 31, 2022. Subsequently, the ratio decreased to 0.39 by December 31, 2023, before rising back to 0.43 by December 31, 2024. This indicates that the company has been effectively managing its debt levels in relation to shareholder equity, which may suggest a more conservative capital structure approach during the period under review.