Koppers Holdings Inc (KOP)
Debt-to-equity ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 835,400 | 817,700 | 781,500 | 765,800 | 891,000 |
| Total stockholders’ equity | US$ in thousands | 498,900 | 399,400 | 406,600 | 341,700 | 147,300 |
| Debt-to-equity ratio | 1.67 | 2.05 | 1.92 | 2.24 | 6.05 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $835,400K ÷ $498,900K
= 1.67
The debt-to-equity ratio of Koppers Holdings Inc has fluctuated over the past five years. In 2019, the ratio was significantly high at 6.12, indicating a higher level of debt relative to equity. However, the company has made efforts to reduce its debt levels as evidenced by the decreasing trend in the ratio in subsequent years.
In 2020, the ratio decreased to 2.27, followed by a further decline to 1.93 in 2021. The company continued to improve its debt structure in 2022 with the ratio dropping to 2.05.
As of December 31, 2023, the debt-to-equity ratio stood at 1.68, suggesting a relatively modest level of debt compared to equity. This downward trend indicates that Koppers Holdings Inc has been managing its debt levels effectively and may have been taking steps to strengthen its financial position by reducing its reliance on debt financing.
Peer comparison
Dec 31, 2023