Ecolab Inc (ECL)
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 | ||
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Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | 6,671,200 | — | — | — | 6,274,000 | — | — | — |
Total stockholders’ equity | US$ in thousands | 8,044,700 | 7,795,800 | 7,556,700 | 7,344,200 | 7,236,100 | 7,062,600 | 7,093,400 | 7,081,600 | 7,224,200 | 6,933,500 | 6,709,100 | 6,292,300 | 6,166,500 | 6,014,700 | 5,855,200 | 8,822,100 | 8,685,300 | 8,567,700 | 8,225,400 | 8,220,700 |
Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.52 | 0.00 | 0.00 | 0.00 | 0.42 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $8,044,700K)
= 0.00
The debt-to-capital ratio of Ecolab, Inc. has been relatively stable over the past two years, ranging between 0.50 and 0.55. This indicates that, on average, roughly 50% to 55% of the company's capital structure is financed through debt.
A decreasing trend in the debt-to-capital ratio over time might suggest that the company is reducing its reliance on debt financing, which can be seen as a positive sign for investors as it indicates lower financial risk. Conversely, an increasing trend may raise concerns about the company's ability to manage its debt levels effectively.
Overall, a debt-to-capital ratio of around 0.50 to 0.55 signifies that Ecolab, Inc. has a moderate level of debt relative to its total capital, and further analysis of the company's overall financial health and cash flow management would be necessary to fully assess its debt management strategy.
Peer comparison
Dec 31, 2023