Owens Corning Inc (OC)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 5,116,000 | 2,615,000 | 2,992,000 | 2,960,000 | 3,126,000 |
| Total stockholders’ equity | US$ in thousands | 5,077,000 | 5,166,000 | 4,575,000 | 4,296,000 | 3,901,000 |
| Debt-to-capital ratio | 0.50 | 0.34 | 0.40 | 0.41 | 0.44 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $5,116,000K ÷ ($5,116,000K + $5,077,000K)
= 0.50
The debt-to-capital ratio of Owens Corning Inc has shown a downward trend from 0.44 at the end of December 31, 2020, to 0.34 at the end of December 31, 2023. This indicates that the company has been gradually reducing its reliance on debt to finance its operations and investments compared to its total capital structure over this period.
However, there was a slight increase in the ratio to 0.50 by the end of December 31, 2024. This increase suggests that the company may have taken on additional debt relative to its capital base that year, potentially to fund new projects or expansion initiatives.
Overall, while the debt-to-capital ratio fluctuated slightly, it generally shows a decreasing trend, which could signal improved financial health and decreased financial risk for Owens Corning Inc over the analyzed period.