Graphic Packaging Holding Company (GPK)
Debt-to-equity 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 | 4,609,000 | 4,821,000 | 5,046,000 | 5,463,000 | 5,200,000 | 5,195,000 | 5,506,000 | 5,645,000 | 5,515,000 | 4,132,000 | 3,742,000 | 3,787,000 | 3,147,000 | 3,196,900 | 3,028,800 | 3,434,500 | 2,809,900 | 2,935,000 | 2,997,500 | 3,129,800 |
| Total stockholders’ equity | US$ in thousands | 2,781,000 | 2,539,000 | 2,449,000 | 2,308,000 | 2,149,000 | 1,956,000 | 1,890,000 | 1,949,000 | 1,891,000 | 1,854,000 | 1,814,000 | 1,533,000 | 1,424,000 | 1,427,600 | 1,520,900 | 1,506,800 | 1,570,200 | 1,556,600 | 1,584,600 | 1,561,400 |
| Debt-to-equity ratio | 1.66 | 1.90 | 2.06 | 2.37 | 2.42 | 2.66 | 2.91 | 2.90 | 2.92 | 2.23 | 2.06 | 2.47 | 2.21 | 2.24 | 1.99 | 2.28 | 1.79 | 1.89 | 1.89 | 2.00 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $4,609,000K ÷ $2,781,000K
= 1.66
The debt-to-equity ratio for Graphic Packaging Holding Co has been fluctuating over the past eight quarters. The ratio decreased from 2.44 in Q4 2022 to 1.93 in Q4 2023, before increasing again to 2.20 in Q3 2023. This fluctuation suggests variability in the company's capital structure and financial leverage during the period under review. Overall, the trend indicates that the company has been using a substantial amount of debt to finance its operations compared to equity, which may pose higher financial risk but could also indicate potential for higher returns on investment. Further analysis and comparison with industry benchmarks would be necessary to fully assess the implications of these debt-to-equity ratio changes.
Peer comparison
Dec 31, 2023