Marathon Petroleum Corp (MPC)

Debt-to-equity 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	27,000,000	26,900,000	26,900,000	26,900,000	26,300,000	26,300,000	26,300,000	26,300,000	25,100,000	26,900,000	27,900,000	32,000,000	31,100,000	31,400,000	31,600,000	31,000,000	28,300,000	28,300,000	27,900,000	27,600,000
Total stockholders’ equity	US$ in thousands	24,404,000	25,862,000	25,714,000	26,858,000	27,715,000	26,304,000	26,306,000	23,972,000	26,206,000	28,280,000	28,921,000	21,592,000	22,199,000	22,453,000	23,741,000	24,088,000	33,694,000	33,738,000	34,207,000	33,951,000
Debt-to-equity ratio		1.11	1.04	1.05	1.00	0.95	1.00	1.00	1.10	0.96	0.95	0.96	1.48	1.40	1.40	1.33	1.29	0.84	0.84	0.82	0.81

December 31, 2023 calculation

Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $27,000,000K ÷ $24,404,000K
= 1.11

The debt-to-equity ratio of Marathon Petroleum Corp has fluctuated over the past eight quarters, ranging from 0.96 to 1.12. The trend shows an increase in leverage starting from Q1 2022, peaking at 1.12 in Q4 2023. This indicates that the company has been relying more on debt financing compared to equity financing during this period. It is important to note that a higher debt-to-equity ratio suggests higher financial risk and higher reliance on debt to fund operations and expansion. It is essential for investors and stakeholders to closely monitor this ratio to assess the company's financial health and sustainability in the long term.