Fluor Corporation (FLR)
Debt-to-equity 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-equity ratio | 0.60 | 0.55 | 0.84 | 1.65 | 1.11 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,158,000K ÷ $1,940,000K
= 0.60
The debt-to-equity ratio of Fluor Corporation has exhibited a declining trend over the past five years, indicating an improvement in the company's financial leverage. Specifically, the ratio decreased from 1.14 in 2019 to 0.60 in 2023. This downward trend suggests that the company has been reducing its reliance on debt financing in relation to equity, which may lead to a more sustainable capital structure. Additionally, the decreasing ratio implies that Fluor Corporation may be managing its debt levels more effectively, potentially enhancing its financial stability and risk management practices. Overall, the decreasing debt-to-equity ratio of Fluor Corporation reflects a positive development in the company's financial structure.
Peer comparison
Dec 31, 2023