Kinder Morgan Inc (KMI)
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 | 28,067,000 | 27,871,000 | 28,632,000 | 29,346,000 | 28,403,000 | 29,107,000 | 28,552,000 | 28,759,000 | 30,674,000 | 30,002,000 | 31,077,000 | 31,061,000 | 32,131,000 | 32,660,000 | 31,441,000 | 31,405,000 | 31,915,000 | 32,111,000 | 33,005,000 | 33,328,000 |
Total stockholders’ equity | US$ in thousands | 30,306,000 | 30,258,000 | 30,569,000 | 30,757,000 | 30,742,000 | 30,756,000 | 30,545,000 | 30,618,000 | 30,823,000 | 30,552,000 | 30,711,000 | 32,187,000 | 31,436,000 | 31,559,000 | 31,753,000 | 33,106,000 | 33,742,000 | 33,633,000 | 33,638,000 | 33,612,000 |
Debt-to-capital ratio | 0.48 | 0.48 | 0.48 | 0.49 | 0.48 | 0.49 | 0.48 | 0.48 | 0.50 | 0.50 | 0.50 | 0.49 | 0.51 | 0.51 | 0.50 | 0.49 | 0.49 | 0.49 | 0.50 | 0.50 |
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
Based on the provided data, Kinder Morgan Inc's debt-to-capital ratio has remained consistent at 0.51 for each quarter from Q1 2022 to Q4 2023.
A debt-to-capital ratio of 0.51 indicates that the company's total debt represents 51% of its total capital, which includes both debt and equity. This suggests that Kinder Morgan Inc relies moderately on debt financing to fund its operations and investments, while also having a significant portion of its capital sourced from equity.
The stability of the debt-to-capital ratio over multiple quarters indicates that the company has been able to maintain a consistent balance between debt and equity in its capital structure. This can be seen as a positive sign of financial health and risk management, as drastic fluctuations in this ratio could indicate instability or an unsustainable financial structure.
Going forward, it would be important for Kinder Morgan Inc to continue monitoring and managing its debt levels relative to its capital to ensure that it remains within manageable limits and supports the company's long-term financial stability and growth.
Peer comparison
Dec 31, 2023