The Coca-Cola Company (KO)
Debt-to-assets 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 | 35,547,000 | 34,176,000 | 35,626,000 | 36,134,000 | 36,377,000 | 35,462,000 | 36,755,000 | 37,052,000 | 38,116,000 | 39,394,000 | 39,804,000 | 40,170,000 | 40,125,000 | 39,502,000 | 37,729,000 | 31,094,000 | 27,516,000 | 31,012,000 | 29,296,000 | 29,400,000 |
| Total assets | US$ in thousands | 97,703,000 | 97,578,000 | 98,456,000 | 97,404,000 | 92,763,000 | 92,471,000 | 93,169,000 | 94,064,000 | 94,354,000 | 90,606,000 | 90,194,000 | 89,993,000 | 87,296,000 | 97,184,000 | 94,689,000 | 94,013,000 | 86,381,000 | 87,433,000 | 89,996,000 | 88,347,000 |
| Debt-to-assets ratio | 0.36 | 0.35 | 0.36 | 0.37 | 0.39 | 0.38 | 0.39 | 0.39 | 0.40 | 0.43 | 0.44 | 0.45 | 0.46 | 0.41 | 0.40 | 0.33 | 0.32 | 0.35 | 0.33 | 0.33 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $35,547,000K ÷ $97,703,000K
= 0.36
The trend analysis of Coca-Cola Co's debt-to-assets ratio over the past 8 quarters indicates that the company's ratio has been relatively stable, ranging between 0.41 to 0.45. This ratio represents the proportion of the company's total debt relative to its total assets.
The average debt-to-assets ratio over the period is approximately 0.43, suggesting that, on average, around 43% of Coca-Cola Co's total assets are financed by debt. A ratio of 0.43 indicates that the company relies moderately on debt financing to support its operations and investments.
The slight fluctuations in the ratio over the quarters may indicate varying levels of debt and asset composition within the company. The decrease in the ratio in Q3 2023 compared to Q2 2023 and an increase in Q4 2022 compared to Q3 2022 show some volatility but remain within a close range.
Overall, a consistent debt-to-assets ratio around 0.43 demonstrates a balanced capital structure for Coca-Cola Co, where a significant portion of its assets are funded by debt while maintaining a reasonable level of financial leverage.
Peer comparison
Dec 31, 2023