Colgate-Palmolive Company (CL)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 8,219,000 | 8,741,000 | 7,194,000 | 7,334,000 | 7,333,000 |
| Total assets | US$ in thousands | 16,393,000 | 15,731,000 | 15,040,000 | 15,920,000 | 15,034,000 |
| Debt-to-assets ratio | 0.50 | 0.56 | 0.48 | 0.46 | 0.49 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $8,219,000K ÷ $16,393,000K
= 0.50
The debt-to-assets ratio of Colgate-Palmolive Co. has fluctuated over the past five years, ranging from 0.48 to 0.56. In 2023, the ratio decreased to 0.52 compared to 0.56 in 2022. This indicates that the company relied on a lower proportion of debt to finance its assets in 2023, which can be viewed positively as it suggests a relatively healthier financial position. However, it is important to note that the ratio remains above 0.5, indicating that a significant portion of the company's assets is still financed by debt. Overall, the trend in the debt-to-assets ratio suggests that Colgate-Palmolive Co. has been managing its debt levels effectively over the years.
Peer comparison
Dec 31, 2023