Zurn Elkay Water Solutions Corporation (ZWS)
Debt-to-equity ratio
| Sep 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 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 494,700 | 494,500 | 494,400 | 547,900 | 549,100 | 550,300 | 530,200 | 531,300 | 531,900 | 532,900 | 533,900 | 1,189,300 | 1,189,500 | 1,189,300 | 1,192,600 | 1,148,000 | 1,397,000 | 1,147,200 | 1,249,300 | 1,263,500 |
| Total stockholders’ equity | US$ in thousands | 1,586,500 | 1,613,900 | 1,602,800 | 1,611,600 | 1,588,600 | 1,599,500 | 1,615,000 | 1,618,600 | 229,400 | 193,700 | 126,400 | 1,642,500 | 1,584,300 | 1,489,800 | 1,395,500 | 1,350,800 | 1,311,000 | 1,365,600 | 1,318,700 | 1,275,300 |
| Debt-to-equity ratio | 0.31 | 0.31 | 0.31 | 0.34 | 0.35 | 0.34 | 0.33 | 0.33 | 2.32 | 2.75 | 4.22 | 0.72 | 0.75 | 0.80 | 0.85 | 0.85 | 1.07 | 0.84 | 0.95 | 0.99 |
September 30, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $494,700K ÷ $1,586,500K
= 0.31
The debt-to-equity ratio of Zurn Elkay Water Solutions Corporation has shown fluctuation over the past several quarters. The ratio was relatively stable around 0.31 for most of the periods in 2024, indicating a balanced mix of debt and equity in the company's capital structure. However, there was a significant increase in the ratio in the second quarter of 2022, reaching as high as 4.22, which suggests a substantial increase in the level of debt relative to equity during that period.
Following the peak in the second quarter of 2022, the debt-to-equity ratio gradually decreased in subsequent quarters, indicating a reduction in the company's debt levels or an increase in equity. The ratio remained relatively stable in the range of 0.72 to 0.85 from the fourth quarter of 2022 to the third quarter of 2023. In the last few quarters, the ratio has stayed below 1, which generally indicates a favorable balance between debt and equity financing.
Overall, the trend in the debt-to-equity ratio of Zurn Elkay Water Solutions Corporation reflects some variability in the company's capital structure, with periods of higher and lower leverage. Monitoring this ratio can provide insights into the company's financial health, risk profile, and management of debt levels relative to equity.
Peer comparison
Sep 30, 2024