The company's financial leverage has increased significantly, with the debt-to-equity ratio climbing to 1.76 in 2026Q4 from 0.10 in 2024Q4, signaling heightened balance sheet vulnerability.
| Total Current Assets | 1.08B | 1.51B | 1.26B | 1.37B | 1.92B | 842.8M | 1.02B | 486.9M | 593.2M |
| Cash & Short-Term Investments | 77.5M | 266.9M | 97.9M | 247.4M | 915.3M | 21.2M | 265M | 3.6M | 32.5M |
| Cash Only | 77.5M | 266.9M | 97.9M | 247.4M | 915.3M | 21.2M | 265M | 3.6M | 32.5M |
| Short-Term Investments | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 399.6M | 213.7M | 235.4M | 291.2M | 402.3M | 274.6M | 249.3M | 136.6M | 180.9M |
| Days Sales Outstanding | 69.93 | 31.77 | 30.73 | 38.25 | 38.58 | 55.84 | 46.5 | 27.82 | 35.39 |
| Inventory | 569.3M | 879.2M | 807.8M | 722.7M | 480M | 415.3M | 436.9M | 284M | 346.6M |
| Days Inventory Outstanding | 75.55 | 124.87 | 118.46 | 110.43 | 76.44 | 92.56 | 78.29 | 53.08 | 67.14 |
| Other Current Assets | 5.6M | 103.8M | 40.9M | 25M | 54.7M | 74.2M | 31.2M | 56.5M | 33.2M |
| Total Non-Current Assets | 1.03B | 1.68B | 1.41B | 1.09B | 777.1M | 711.1M | 809.5M | 1.32B | 1.28B |
| Property, Plant & Equipment | 1.03B | 1.66B | 1.41B | 1.08B | 773.7M | 699.9M | 799.5M | 1.22B | 1.19B |
| Fixed Asset Turnover | 2.03x | 1.48x | 1.99x | 2.57x | 4.92x | 2.56x | 2.45x | 1.46x | 1.57x |
| Goodwill | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Intangible Assets | 299.75K | 500K | 700K | 900K | 1.1M | 1.5M | 2.8M | 75.9M | 79.9M |
| Long-Term Investments | 0 | 0 | 0 | 0 | 0 | 2.2M | 1.3M | 0 | 0 |
| Other Non-Current Assets | 3.3M | 16.6M | 7.6M | 7.1M | 2.3M | 9.7M | 7.2M | 16.5M | 13.8M |
| Total Assets | 2.12B | 3.19B | 2.68B | 2.46B | 2.69B | 1.55B | 1.83B | 1.8B | 1.88B |
| Asset Turnover | 0.99x | 0.77x | 1.04x | 1.13x | 1.41x | 1.16x | 1.07x | 0.99x | 0.99x |
| Asset Growth % | -33.59% | 19.07% | 8.98% | -8.84% | 73.34% | -15.07% | 1.41% | -3.91% | - |
| Total Current Liabilities | 497.4M | 490.3M | 428.5M | 343.4M | 537.5M | 348.6M | 435.3M | 1.21B | 258.6M |
| Accounts Payable | 47.7M | 146.1M | 142M | 59.8M | 54.6M | 43.3M | 45.3M | 127.9M | 151M |
| Days Payables Outstanding | 6.33 | 20.75 | 20.82 | 9.14 | 8.7 | 9.65 | 8.12 | 23.9 | 29.25 |
| Short-Term Debt | 184.2M | 26.4M | 16.5M | 11.9M | 10.1M | 103.7M | 267.5M | 872.4M | 3.6M |
| Deferred Revenue (Current) | 0 | 0 | 0 | 52.4M | 0 | 142.2M | 0 | 0 | 0 |
| Other Current Liabilities | 76.6M | 68.7M | 65.3M | 80.7M | 209.1M | 53.9M | 64M | 98.7M | 104M |
| Current Ratio | 2.18x | 3.07x | 2.95x | 3.98x | 3.57x | 2.42x | 2.34x | 0.40x | 2.29x |
| Quick Ratio | 1.03x | 1.28x | 1.06x | 1.87x | 2.67x | 1.23x | 1.34x | 0.17x | 0.95x |
| Cash Conversion Cycle | 139.15 | 135.9 | 128.37 | 139.55 | 106.33 | 138.75 | 116.67 | 56.99 | 73.28 |
| Total Non-Current Liabilities | 1.13B | 1.19B | 745.1M | 650M | 573.5M | 1.03B | 1.09B | 1.13B | 1.92B |
| Long-Term Debt | 676.4M | 644.6M | 127.4M | 110.4M | 85.2M | 525.7M | 545.6M | 423.3M | 1.13B |
| Capital Lease Obligations | 1.4M | 2.2M | 2.2M | 400K | 900K | 0 | 0 | 0 | 0 |
| Deferred Tax Liabilities | 0 | 0 | 0 | 96.7M | 92.9M | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 449.6M | 540.6M | 615.5M | 442.5M | 394.5M | 505.8M | 548.9M | 705M | 792.4M |
| Total Liabilities | 1.62B | 1.68B | 1.17B | 993.4M | 1.11B | 1.38B | 1.53B | 2.34B | 2.18B |
| Total Debt | 862M | 673.2M | 146.1M | 122.3M | 96.2M | 629.4M | 813.1M | 1.3B | 1.13B |
| Net Debt | 784.5M | 406.3M | 48.2M | -125.1M | -819.1M | 608.2M | 548.1M | 1.29B | 1.1B |
| Debt / Equity | 1.76x | 0.45x | 0.10x | 0.08x | 0.06x | 3.62x | 2.71x | - | - |
| Debt / EBITDA | - | - | 0.52x | 0.31x | 0.06x | 3.66x | - | - | 65.72x |
| Net Debt / EBITDA | - | - | 0.17x | -0.32x | -0.55x | 3.54x | - | - | 63.83x |
| Interest Coverage | -14.27x | -6.81x | 4.45x | 38.65x | 31.29x | 0.15x | -2.26x | - | - |
| Total Equity | 491.1M | 1.51B | 1.5B | 1.46B | 1.58B | 173.8M | 299.9M | -530.9M | -300.2M |
| Equity Growth % | -67.44% | 0.41% | 2.75% | -7.61% | 810.59% | -42.05% | 156.49% | -76.85% | - |
| Book Value per Share | 4.52 | 13.90 | 11.30 | 9.95 | 10.70 | 1.17 | 2.03 | -1.06 | -0.60 |
| Total Shareholders' Equity | 491.1M | 1.51B | 1.5B | 1.46B | 1.58B | 173.8M | 299.9M | -530.9M | -300.2M |
| Common Stock | 975.5M | 974.8M | 963.9M | 958.4M | 1.38B | 409.5M | 409.5M | 490.4M | 490.4M |
| Retained Earnings | -897.9M | 102M | 288.4M | 211.6M | 77.8M | -249.3M | -173.2M | -1.07B | -760M |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | 414.4M | 431.7M | 267.1M | 313.6M | 152M | 9.5M | 63.6M | -5.7M | -88.8M |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
EAF transition liquidity risk
As reported in recent SEC filings, Algoma Steel's equity base has contracted significantly from $1.5 billion in 2025Q4 to $491.1 million by 2026Q4, signaling a rapid deterioration in net worth driven by persistent operational losses and the ongoing capital-intensive transition to Electric Arc Furnace technology.
The consistent decline in retained earnings, which have swung to a deficit of $897.9 million, suggests that the company is consuming its capital base to fund operations and infrastructure upgrades. Investors should monitor whether this trajectory of equity depletion reaches a critical threshold that necessitates dilutive financing or further debt accumulation.
Based on the company's reported figures, the debt-to-equity ratio has climbed sharply to 1.76 in 2026Q4 from 0.10 in 2024Q4, reflecting an increased reliance on external financing to bridge the gap between operational cash outflows and the heavy capital requirements of the EAF project.
The shift toward higher leverage in a period of negative margins indicates that debt is being used as a survival mechanism rather than a strategic growth tool. This rising debt burden may limit future financial flexibility and increase interest expense sensitivity, potentially constraining the company's ability to navigate prolonged industry downturns.
According to financial statements, cash reserves have dwindled to $77.5 million as of 2026Q4, down from a peak of $497.3 million in 2025Q1, which highlights a narrowing margin of safety for a company facing significant operational volatility and ongoing capital expenditure commitments.
While the current ratio of 2.18 appears superficially healthy, the absolute cash position provides a limited buffer against sustained negative operating cash flow. The rapid depletion of liquid assets warrants close investigation into the company's remaining access to credit facilities and the potential for liquidity constraints if the EAF transition faces further delays.
As evidenced by the balance sheet, the concentration of $1.0 billion in net PPE against a backdrop of negative earnings suggests that the company's asset base may be subject to future impairment risks if the EAF transition fails to deliver the expected cost efficiencies.
The reliance on heavy industrial assets in a cyclical, margin-compressed environment creates a risk that the carrying value of these assets may not be fully recoverable. Analysts should consider the possibility that the current book value of PPE overstates the economic utility of the legacy blast furnace assets currently being phased out.
Quick answers to the most common questions about buying ASTL stock.
As of 2026, Algoma Steel Group Inc. (ASTL) had total assets of $2.12B including $1.08B in current assets.
Algoma Steel Group Inc. (ASTL) carries total debt of $862.0M, offset by $77.5M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Algoma Steel Group Inc. (ASTL) has total shareholders' equity (book value) of $491.1M ($4.52 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Algoma Steel Group Inc. (ASTL) reported a current ratio of 2.18x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.