Kinder Morgan Inc (KMI)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 28,067,000 | 28,403,000 | 30,674,000 | 32,131,000 | 31,915,000 |
| Total stockholders’ equity | US$ in thousands | 30,306,000 | 30,742,000 | 30,823,000 | 31,436,000 | 33,742,000 |
| Debt-to-capital ratio | 0.48 | 0.48 | 0.50 | 0.51 | 0.49 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $28,067,000K ÷ ($28,067,000K + $30,306,000K)
= 0.48
The debt-to-capital ratio for Kinder Morgan Inc has remained relatively stable over the past five years, with values ranging from 0.50 to 0.52. This ratio indicates that, on average, approximately half of the company's capital structure is financed by debt, while the other half is funded by equity. The consistent level of the debt-to-capital ratio suggests that Kinder Morgan has maintained a balanced approach to its financing strategy, leveraging a mix of debt and equity to fund its operations and investments. Overall, the stability of this ratio reflects a prudent management of financial risk and indicates a strong financial position for the company.
Peer comparison
Dec 31, 2023