3M Company (MMM)

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	13,088,000	12,876,000	12,954,000	12,948,000	14,001,000	13,849,000	14,019,000	14,801,000	16,056,000	16,193,000	16,267,000	16,819,000	17,989,000	18,429,000	19,276,000	19,247,000	17,518,000	17,479,000	14,914,000	15,580,000
Total stockholders’ equity	US$ in thousands	4,807,000	4,672,000	7,798,000	15,298,000	14,722,000	14,080,000	13,742,000	14,930,000	15,046,000	14,460,000	14,448,000	13,760,000	12,867,000	11,880,000	10,857,000	10,147,000	10,063,000	10,702,000	10,083,000	9,703,000
Debt-to-capital ratio		0.73	0.73	0.62	0.46	0.49	0.50	0.50	0.50	0.52	0.53	0.53	0.55	0.58	0.61	0.64	0.65	0.64	0.62	0.60	0.62

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $13,088,000K ÷ ($13,088,000K + $4,807,000K)
= 0.73

The debt-to-capital ratio for 3M Co. has shown some fluctuations over the past eight quarters. The ratio has ranged from 0.51 to 0.77 during this period.

In the most recent quarter, Q4 2023, the debt-to-capital ratio was 0.77, the same as in the previous quarter, Q3 2023. This indicates that 3M Co. is utilizing debt to finance a significant portion of its capital structure.

Compared to the same quarter in the previous year, Q4 2022, the debt-to-capital ratio has increased slightly from 0.52 to 0.77. This suggests that 3M Co. may have taken on more debt relative to its total capital over the year.

Overall, a high debt-to-capital ratio may indicate higher financial risk and financial leverage for the company. It is important for investors and analysts to closely monitor this ratio to assess 3M Co.'s ability to manage its debt levels effectively and sustain its financial health in the long term.