The Coca-Cola Company (KO)

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	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 stockholders’ equity	US$ in thousands	25,941,000	26,325,000	26,013,000	25,217,000	24,105,000	22,805,000	23,005,000	24,845,000	22,999,000	22,179,000	22,249,000	20,355,000	19,299,000	18,607,000	17,484,000	18,158,000	18,981,000	18,713,000	18,181,000	17,735,000
Debt-to-capital ratio		0.58	0.56	0.58	0.59	0.60	0.61	0.62	0.60	0.62	0.64	0.64	0.66	0.68	0.68	0.68	0.63	0.59	0.62	0.62	0.62

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $35,547,000K ÷ ($35,547,000K + $25,941,000K)
= 0.58

The debt-to-capital ratio of Coca-Cola Co has seen some fluctuations over the past eight quarters. It ranged between 0.60 and 0.65 during this period, with the latest data showing a ratio of 0.62 for Q4 2023.

Overall, the trend indicates that the company has maintained a moderate level of leverage, with debt representing around 60-65% of the total capital structure. A decreasing ratio suggests a reduction in debt relative to capital, while an increasing ratio indicates higher debt usage compared to capital.

It is important to continue monitoring this ratio to assess the company's financial health and its ability to meet its debt obligations. A stable and reasonable debt-to-capital ratio is essential for investors and creditors in evaluating the company's risk profile and financial stability.