Chemours Co (CC)
Debt-to-capital 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 | 3,987,000 | 3,944,000 | 3,604,000 | 3,599,000 | 3,590,000 | 3,510,000 | 3,656,000 | 3,692,000 | 3,724,000 | 3,829,000 | 3,964,000 | 3,970,000 | 4,005,000 | 4,063,000 | 4,327,000 | 4,012,000 | 4,026,000 | 4,007,000 | 4,190,000 | 3,965,000 |
| Total stockholders’ equity | US$ in thousands | 737,000 | 755,000 | 808,000 | 1,227,000 | 1,107,000 | 1,284,000 | 1,214,000 | 1,166,000 | 1,081,000 | 998,000 | 898,000 | 850,000 | 813,000 | 732,000 | 657,000 | 655,000 | 689,000 | 837,000 | 823,000 | 810,000 |
| Debt-to-capital ratio | 0.84 | 0.84 | 0.82 | 0.75 | 0.76 | 0.73 | 0.75 | 0.76 | 0.78 | 0.79 | 0.82 | 0.82 | 0.83 | 0.85 | 0.87 | 0.86 | 0.85 | 0.83 | 0.84 | 0.83 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $3,987,000K ÷ ($3,987,000K + $737,000K)
= 0.84
The debt-to-capital ratio of Chemours Co has been fluctuating over the past few quarters. The ratio was relatively stable around the 0.75 to 0.85 range from March 2020 to September 2022. However, from December 2022 to December 2023, there was a slight increase in the ratio, reaching a peak of 0.84 in September 2023.
A debt-to-capital ratio of 0.84 indicates that approximately 84% of Chemours Co's capital structure is financed by debt, while the remaining 16% is attributed to shareholders' equity. This suggests that the company relies more heavily on debt financing in comparison to equity financing.
It is essential for investors and stakeholders to monitor changes in the debt-to-capital ratio as it provides insights into the company's financial leverage and risk exposure. A higher ratio indicates higher financial risk and potential difficulties in meeting financial obligations, while a lower ratio reflects a stronger financial position with less reliance on debt.
Peer comparison
Dec 31, 2023