The capital structure is stabilizing with a debt-to-equity ratio of 0.54 as of 2026Q1, though the $7.5B goodwill balance continues to dominate the $14.1B total asset base.
| Total Current Assets | 2.68B | 2.64B | 1.48B | 1.36B |
| Cash & Short-Term Investments | 857M | 915M | 166M | 139M |
| Cash Only | 857M | 915M | 166M | 139M |
| Short-Term Investments | 0 | 0 | 0 | 0 |
| Accounts Receivable | 1.04B | 992M | 682M | 657M |
| Days Sales Outstanding | 69.28 | 76.16 | 57.42 | 59.43 |
| Inventory | 696M | 661M | 597M | 534M |
| Days Inventory Outstanding | 84.68 | 87.23 | 93.28 | 85.49 |
| Other Current Assets | 90M | 70M | 38M | 34M |
| Total Non-Current Assets | 11.38B | 11.43B | 10.79B | 11.15B |
| Property, Plant & Equipment | 1.69B | 3.15B | 1.68B | 1.71B |
| Fixed Asset Turnover | 2.41x | 1.51x | 2.59x | 2.37x |
| Goodwill | 7.51B | 7.52B | 7.38B | 7.46B |
| Intangible Assets | 1.06B | 1.11B | 1.29B | 1.54B |
| Long-Term Investments | 1.25B | 402M | 394M | 399M |
| Other Non-Current Assets | 1.07B | -796M | 14M | 13M |
| Total Assets | 14.06B | 14.07B | 12.27B | 12.52B |
| Asset Turnover | 0.37x | 0.34x | 0.35x | 0.32x |
| Asset Growth % | 7.92% | 14.64% | -1.94% | - |
| Total Current Liabilities | 1.26B | 1.36B | 839M | 677M |
| Accounts Payable | 699M | 680M | 450M | 385M |
| Days Payables Outstanding | 80.23 | 89.73 | 70.31 | 61.63 |
| Short-Term Debt | 23M | 67M | 61M | 53M |
| Deferred Revenue (Current) | 1M | 0 | 1M | 0 |
| Other Current Liabilities | 0 | 609M | 73M | 67M |
| Current Ratio | 2.12x | 1.95x | 1.77x | 2.01x |
| Quick Ratio | 1.57x | 1.46x | 1.06x | 1.23x |
| Cash Conversion Cycle | 73.73 | 73.66 | 80.39 | 83.28 |
| Total Non-Current Liabilities | 5.34B | 5.35B | 538M | 655M |
| Long-Term Debt | 4B | 4.46B | 0 | 0 |
| Capital Lease Obligations | 655M | 455M | 130M | 169M |
| Deferred Tax Liabilities | 956M | 273M | 259M | 341M |
| Other Non-Current Liabilities | 1.08B | 116M | 114M | 124M |
| Total Liabilities | 6.6B | 6.7B | 1.38B | 1.33B |
| Total Debt | 4.02B | 4.98B | 191M | 222M |
| Net Debt | 3.17B | 4.07B | 25M | 83M |
| Debt / Equity | 0.54x | 0.68x | 0.02x | 0.02x |
| Debt / EBITDA | 2.79x | 3.58x | 0.15x | 0.21x |
| Net Debt / EBITDA | 2.20x | 2.92x | 0.02x | 0.08x |
| Interest Coverage | 8.42x | 15.60x | 3.21x | - |
| Total Equity | 7.46B | 7.37B | 10.9B | 11.18B |
| Equity Growth % | 8.4% | -32.4% | -2.58% | - |
| Book Value per Share | 35.48 | 35.16 | 52.03 | 53.40 |
| Total Shareholders' Equity | 7.19B | 7.09B | 10.64B | 10.94B |
| Common Stock | 2M | 2M | 11.06B | 11.18B |
| Retained Earnings | 170M | 18M | 0 | 0 |
| Treasury Stock | 0 | 0 | 0 | 0 |
| Accumulated OCI | -264M | -213M | -414M | -245M |
| Minority Interest | 275M | 271M | 252M | 246M |
Geopolitical supply chain concentration
According to recent financial filings, Qnity's debt-to-equity ratio reached 0.54 in 2026Q1, reflecting a stabilization of the capital structure following the aggressive debt issuance observed in late 2025 that saw leverage climb to 0.68 before recent partial paydowns.
The shift from a 0.02 D/E ratio in 2025Q2 to current levels suggests management is utilizing debt to fund independent operational infrastructure and potential growth initiatives. Investors should monitor whether this leverage remains a strategic tool for scaling or if it signals a permanent shift toward a more capital-intensive balance sheet.
Based on reported balance sheet data, goodwill accounts for $7.5B of the $14.1B total asset base as of 2026Q1, indicating that the company's valuation is heavily anchored in intangible assets acquired during the spin-off process rather than physical manufacturing capacity.
The relatively low net PPE of $1.7B relative to total assets suggests an asset-light model that relies on proprietary chemical formulations rather than heavy machinery. This concentration of goodwill warrants further investigation into potential impairment risks should the competitive moat in advanced node materials face unexpected erosion.
As reported in quarterly statements, Qnity maintained a current ratio of 2.12 in 2026Q1, providing a robust liquidity cushion that appears sufficient to navigate the working capital volatility inherent in the semiconductor materials supply chain.
The company's ability to maintain a current ratio above 2.0 despite recent capital expenditures suggests a disciplined approach to managing short-term obligations. This liquidity profile appears to provide the necessary runway to absorb potential inventory build-ups or fluctuations in customer demand without requiring immediate external financing.
Data from recent balance sheets indicates that retained earnings have grown to $170M in 2026Q1 from zero in 2025Q3, marking a transition toward internal capital accumulation as the company establishes its independent profitability profile post-separation.
The emergence of positive retained earnings suggests that the business is successfully generating surplus capital beyond its immediate operational needs. This trend appears to be a positive indicator of long-term value creation, provided that the company can continue to reinvest these funds at attractive rates of return.
Quick answers to the most common questions about buying Q stock.
As of 2025, Qnity Electronics, Inc. (Q) had total assets of $14.07B including $2.64B in current assets.
Qnity Electronics, Inc. (Q) carries total debt of $4.98B, offset by $915.0M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
Qnity Electronics, Inc. (Q) has total shareholders' equity (book value) of $7.09B ($35.16 book value per share). Book value represents the net worth of the company belonging to common stock holders.
Qnity Electronics, Inc. (Q) reported a current ratio of 1.95x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.