Keurig Dr Pepper Inc (KDP)
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 | 9,945,000 | 9,940,000 | 9,934,000 | 9,929,000 | 11,072,000 | 11,561,000 | 11,555,000 | 11,584,000 | 11,578,000 | 11,727,000 | 11,721,000 | 11,715,000 | 11,143,000 | 11,707,000 | 11,849,000 | 12,431,000 | 12,827,000 | 13,147,000 | 13,164,000 | 13,246,000 |
| Total stockholders’ equity | US$ in thousands | 25,676,000 | 25,364,000 | 25,268,000 | 25,103,000 | 25,126,000 | 25,102,000 | 25,391,000 | 25,511,000 | 24,972,000 | 24,405,000 | 24,242,000 | 24,070,000 | 23,829,000 | 23,296,000 | 22,923,000 | 22,640,000 | 23,257,000 | 22,914,000 | 22,883,000 | 22,674,000 |
| Debt-to-capital ratio | 0.28 | 0.28 | 0.28 | 0.28 | 0.31 | 0.32 | 0.31 | 0.31 | 0.32 | 0.32 | 0.33 | 0.33 | 0.32 | 0.33 | 0.34 | 0.35 | 0.36 | 0.36 | 0.37 | 0.37 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $9,945,000K ÷ ($9,945,000K + $25,676,000K)
= 0.28
Keurig Dr Pepper Inc's debt-to-capital ratio has remained relatively stable over the past eight quarters, ranging from 0.33 to 0.35. This indicates that the company's level of debt compared to its total capital has been consistent.
A debt-to-capital ratio of 0.35 in Q4 2023 suggests that 35% of the company's capital is financed by debt, while the remaining 65% is financed by equity. This indicates a moderate reliance on debt for funding operations and expansion.
The trend of the debt-to-capital ratio staying within a narrow range indicates that Keurig Dr Pepper Inc has maintained a balanced capital structure over the past two years, which could be perceived positively by investors and creditors.
Overall, the stability of the debt-to-capital ratio suggests that Keurig Dr Pepper Inc has managed its debt levels effectively, maintaining a healthy balance between debt and equity financing to support its operations and growth strategies.
Peer comparison
Dec 31, 2023