Colgate-Palmolive Company (CL)

Debt-to-capital ratio

		Dec 31, 2024	Sep 30, 2024	Jun 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	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Long-term debt	US$ in thousands	7,289,000	7,909,000	8,146,000	8,151,000	8,219,000	8,690,000	8,954,000	8,870,000	8,741,000	8,219,000	7,957,000	7,588,000	7,194,000	7,682,000	7,951,000	7,570,000	7,334,000	6,971,000	6,884,000	7,336,000
Total stockholders’ equity	US$ in thousands	212,000	435,000	123,000	230,000	609,000	-9,000	-64,000	-6,000	401,000	622,000	168,000	321,000	609,000	591,000	464,000	262,000	743,000	653,000	268,000	-113,000
Debt-to-capital ratio		0.97	0.95	0.99	0.97	0.93	1.00	1.01	1.00	0.96	0.93	0.98	0.96	0.92	0.93	0.94	0.97	0.91	0.91	0.96	1.02

December 31, 2024 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $7,289,000K ÷ ($7,289,000K + $212,000K)
= 0.97

The debt-to-capital ratio of Colgate-Palmolive Company has fluctuated over the analyzed period, ranging from 0.91 to 1.02. This ratio indicates the proportion of debt used to finance the company's operations relative to its total capital, including both debt and equity.

In the recent quarters, the trend shows a gradual decrease in the debt-to-capital ratio from 1.02 in March 2020 to 0.97 in March 2024, with some fluctuations in between. This decreasing trend generally suggests that the company is relying less on debt financing compared to its total capital over time.

Overall, Colgate-Palmolive's debt-to-capital ratio appears to be at a relatively stable level around the range of 0.91 to 1.01 in recent periods. It is essential for investors and analysts to monitor this ratio to assess the company's financial leverage and risk management strategy.