Keurig Dr Pepper Inc (KDP)

Debt-to-equity ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Long-term debt	US$ in thousands	12,912,000	9,945,000	11,072,000	11,578,000	11,143,000
Total stockholders’ equity	US$ in thousands	24,243,000	25,676,000	25,126,000	24,972,000	23,829,000
Debt-to-equity ratio		0.53	0.39	0.44	0.46	0.47

December 31, 2024 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $12,912,000K ÷ $24,243,000K
= 0.53

The debt-to-equity ratio of Keurig Dr Pepper Inc has shown a declining trend over the years, indicating a decreasing reliance on debt to finance its operations compared to equity. In 2020, the ratio stood at 0.47 and gradually decreased to 0.39 by the end of 2023. This suggests that the company has been effectively managing its debt levels relative to its equity base. However, there was a slight increase to 0.53 by the end of 2024, which may indicate a potential shift in the company's capital structure towards more debt in that particular year. Overall, the decreasing trend in the debt-to-equity ratio indicates a strengthening financial position and effective capital structure management by Keurig Dr Pepper Inc during the period analyzed.