Dow Inc (DOW)

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	—	—	—	14,239,000	13,875,000	11,622,000	12,726,000	15,320,000	17,125,000	16,970,000	18,682,000	19,319,000	20,604,000	19,641,000	19,117,000	17,639,000	18,661,000	19,675,000	19,372,000	20,850,000
Total stockholders’ equity	US$ in thousands	18,607,000	19,567,000	19,997,000	20,181,000	20,718,000	18,117,000	18,973,000	18,880,000	18,165,000	16,439,000	15,573,000	14,003,000	12,435,000	12,354,000	12,537,000	12,906,000	13,541,000	17,399,000	17,911,000	32,668,000
Debt-to-capital ratio		0.00	0.00	0.00	0.41	0.40	0.39	0.40	0.45	0.49	0.51	0.55	0.58	0.62	0.61	0.60	0.58	0.58	0.53	0.52	0.39

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $18,607,000K)
= 0.00

The debt-to-capital ratio of Dow Inc has remained relatively stable over the past eight quarters, fluctuating within a narrow range of 0.42 to 0.45. This indicates that the company has maintained a consistent proportion of debt in its capital structure. A decreasing trend from 0.44 in March 2022 to 0.43 in December 2023 and remaining at that level suggests that Dow Inc has effectively managed its debt relative to its total capital. This stability may signify a prudent approach to managing leverage and financial risk, potentially providing investors and creditors with a sense of confidence in the company's financial stability. It is worth noting that although the ratio has not shown a significant downward trend, the consistent position below 0.50 demonstrates a conservative capital structure and a lower reliance on debt financing.