Kellanova (K)

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 5,089,000 5,530,000 5,078,000 5,759,000 5,317,000 5,697,000 5,838,000 5,953,000 6,262,000 7,800,000 7,800,000 7,300,000 6,746,000 7,900,000 7,700,000 7,500,000 7,800,000 8,300,000 8,700,000 8,400,000
Total stockholders’ equity US$ in thousands 3,175,000 4,038,000 3,965,000 4,052,000 3,941,000 4,283,000 4,082,000 3,795,000 3,720,000 3,484,000 3,362,000 3,138,000 3,112,000 3,044,000 2,870,000 2,674,000 2,747,000 2,727,000 2,650,000 2,533,000
Debt-to-equity ratio 1.60 1.37 1.28 1.42 1.35 1.33 1.43 1.57 1.68 2.24 2.32 2.33 2.17 2.60 2.68 2.80 2.84 3.04 3.28 3.32

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $5,089,000K ÷ $3,175,000K
= 1.60

The debt-to-equity ratio for Kellanova has shown fluctuations over the past few years, ranging from as low as 1.28 to as high as 3.32. The ratio indicates the proportion of debt relative to equity in the company's capital structure. A higher ratio suggests that the company relies more on debt financing, which can indicate higher financial risk due to potential obligations and interest payments.

Looking at the trend, the ratio peaked at 3.32 in the third quarter of 2019, indicating a significant reliance on debt at that time. Subsequently, there was a gradual decline in the ratio until the first quarter of 2023, when it reached its lowest point at 1.28, suggesting a lower level of debt relative to equity.

However, there was an uptick in the ratio in the following quarters, reaching 1.60 at the end of 2023. This increase may signal a shift towards higher debt levels or a reduction in equity, implying potential changes in the capital structure or financial strategy of Kellanova.

It is essential for stakeholders to monitor the debt-to-equity ratio closely as it provides insights into the company's financial leverage and risk profile. Fluctuations in the ratio should be analyzed in conjunction with other financial metrics to assess the overall financial health and stability of Kellanova.


Peer comparison

Dec 31, 2023


See also:

Kellanova Debt to Equity (Quarterly Data)