Ingersoll Rand Inc (IR)
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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 9,783,800 | 9,554,000 | 9,414,800 | 9,317,300 | 9,195,800 | 8,750,900 | 8,776,900 | 8,992,200 | 9,001,500 | 8,653,600 | 9,277,900 | 8,956,700 | 9,119,700 | 8,771,700 | 8,574,900 | 8,686,200 | 1,869,900 | 1,790,500 | 1,785,300 | 1,737,700 |
| 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 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 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 + $9,783,800K)
= 0.00
The debt-to-capital ratio of Ingersoll-Rand Inc has been relatively stable over the past eight quarters, ranging from 0.22 to 0.28. This ratio indicates the proportion of the company's capital that is financed through debt. A lower debt-to-capital ratio suggests that the company relies more on equity financing, which can be seen as a positive indicator of financial health and lower financial risk.
In Ingersoll-Rand's case, the consistent range of 0.22 to 0.28 over the past quarters indicates a moderate level of debt in relation to its total capital. While the ratio slightly increased from Q1 2022 to Q4 2022, it remained relatively steady in the subsequent quarters. This stability suggests that Ingersoll-Rand has maintained a balanced capital structure, using a mix of debt and equity financing to support its operations and growth initiatives.
Overall, the debt-to-capital ratio analysis shows that Ingersoll-Rand Inc has been managing its debt levels effectively, maintaining a reasonable balance between debt and equity in its capital structure.
Peer comparison
Dec 31, 2023