Olympic Steel Inc (ZEUS)
Debt-to-equity 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 | 190,198 | 196,527 | 238,240 | 258,765 | 165,658 | 244,200 | 287,880 | 311,185 | 327,764 | 297,880 | 268,975 | 191,903 | 160,609 | 171,299 | 196,946 | 209,052 | 192,925 | 223,004 | 264,649 | 313,269 |
| Total stockholders’ equity | US$ in thousands | 555,478 | 549,321 | 538,463 | 524,551 | 515,968 | 512,655 | 499,559 | 462,786 | 424,439 | 512,655 | 353,820 | 323,775 | 424,439 | 298,835 | 299,938 | 306,392 | 308,352 | 308,648 | 308,463 | 309,200 |
| Debt-to-equity ratio | 0.34 | 0.36 | 0.44 | 0.49 | 0.32 | 0.48 | 0.58 | 0.67 | 0.77 | 0.58 | 0.76 | 0.59 | 0.38 | 0.57 | 0.66 | 0.68 | 0.63 | 0.72 | 0.86 | 1.01 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $190,198K ÷ $555,478K
= 0.34
The debt-to-equity ratio for Olympic Steel Inc. has shown fluctuation over the past eight quarters. In Q4 2023, the ratio stood at 0.34, indicating that the company had $0.34 in debt for every $1 of equity. This ratio decreased from the previous quarter, suggesting a lower level of debt relative to equity.
Looking back, the trend in the debt-to-equity ratio has been somewhat volatile, with fluctuations between 0.32 and 0.67 over the past two years. The ratio reached its lowest point in Q4 2022 at 0.32, indicating a relatively lower level of debt compared to equity. However, there was a notable increase in the ratio in Q2 2022, reaching 0.58, and again in Q1 2022, reaching 0.67, signaling higher financial leverage during those periods.
Overall, monitoring the debt-to-equity ratio can help assess Olympic Steel Inc.'s capital structure and financial risk. A lower ratio typically indicates less reliance on debt financing, while a higher ratio suggests higher financial leverage and potential risk. The company's management may need to closely evaluate and manage its debt levels to maintain a healthy balance between debt and equity in order to support sustainable growth and financial stability.
Peer comparison
Dec 31, 2023