Fluor Corporation (FLR)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,158,000 | 978,000 | 1,174,000 | 1,701,100 | 1,651,740 |
| Total stockholders’ equity | US$ in thousands | 1,940,000 | 1,786,000 | 1,393,000 | 1,030,250 | 1,487,750 |
| Debt-to-capital ratio | 0.37 | 0.35 | 0.46 | 0.62 | 0.53 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,158,000K ÷ ($1,158,000K + $1,940,000K)
= 0.37
The debt-to-capital ratio of Fluor Corporation has shown a declining trend over the five-year period from 2019 to 2023. In 2019, the ratio stood at 0.53, indicating that debt made up 53% of the company's capital structure. The ratio decreased to 0.63 in 2020, suggesting a higher reliance on debt that year. However, from 2021 onwards, there has been a consistent decrease in the ratio, with values of 0.46 in 2021, 0.39 in 2022, and 0.37 in 2023. This trend indicates that Fluor Corporation has been reducing its debt levels relative to its total capital, which could be seen as a positive sign of improved financial health and reduced financial risk.
Peer comparison
Dec 31, 2023