Leggett & Platt Incorporated (LEG)
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 | 1,786,400 | 1,785,900 | 1,785,400 | 1,784,900 | 1,784,400 | — | — | — | 2,082,300 | — | — | — | 1,587,600 | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,333,300 | 1,635,100 | 1,668,000 | 1,666,500 | 1,640,700 | 1,562,200 | 1,614,000 | 1,670,800 | 1,648,000 | 1,575,800 | 1,534,200 | 1,455,700 | 1,424,600 | 1,299,500 | 1,214,200 | 1,238,200 | 1,312,000 | 1,255,200 | 1,238,200 | 1,194,700 |
| Debt-to-capital ratio | 0.57 | 0.52 | 0.52 | 0.52 | 0.52 | 0.00 | 0.00 | 0.00 | 0.56 | 0.00 | 0.00 | 0.00 | 0.53 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,786,400K ÷ ($1,786,400K + $1,333,300K)
= 0.57
The debt-to-capital ratio for Leggett & Platt, Inc. has been relatively stable over the past eight quarters, ranging from 0.55 to 0.60. This ratio indicates the proportion of the company's capital that is financed through debt. A higher ratio suggests higher financial leverage and greater reliance on debt financing.
With the ratio consistently around 0.55 to 0.60, it indicates that Leggett & Platt, Inc. has a moderate level of debt relative to its capital structure. Investors and creditors typically view a stable debt-to-capital ratio positively, as it demonstrates a consistent and manageable approach to debt management. However, it is important to monitor any significant deviations in the ratio over time to ensure the company maintains a healthy balance between debt and equity financing.
Peer comparison
Dec 31, 2023