LyondellBasell Industries NV (LYB)
Debt-to-capital ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 12,930,000 | 12,615,000 | 11,858,000 | 7,971,000 | 8,044,000 |
| Debt-to-capital ratio | 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)
= $—K ÷ ($—K + $12,930,000K)
= 0.00
The debt-to-capital ratio of LyondellBasell Industries NV has shown a declining trend over the past five years. In December 2023, the ratio decreased to 0.46 from 0.47 in 2022, indicating that the company's reliance on debt as a source of capital decreased slightly. This trend aligns with the company's efforts to potentially reduce its debt levels relative to its total capital structure.
Comparing the most recent ratio of 0.46 to the ratios in the prior years, we observe a gradual decline from 0.67 in 2020 to 0.60 in 2019. This downward trend suggests that the company has been managing its debt levels effectively or increasing its equity component in the capital structure relative to debt.
A debt-to-capital ratio of 0.46 as of December 31, 2023, implies that approximately 46% of LyondellBasell's capital structure is funded by debt, while the remaining 54% is financed by equity. This indicates a relatively moderate reliance on debt financing, which may be perceived positively by investors and creditors concerned about the company's leverage and financial stability.
Peer comparison
Dec 31, 2023