Owens Corning Inc (OC)
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 | 2,615,000 | 3,002,000 | 3,004,000 | 2,999,000 | 2,992,000 | 2,988,000 | 2,989,000 | 2,959,000 | 2,960,000 | 2,958,000 | 3,144,000 | 3,145,000 | 3,126,000 | 3,126,000 | 3,314,000 | 3,213,000 | 2,986,000 | 3,180,000 | 3,404,000 | 3,711,000 |
| Total stockholders’ equity | US$ in thousands | 5,166,000 | 5,105,000 | 5,014,000 | 4,791,000 | 4,575,000 | 4,640,000 | 4,540,000 | 4,341,000 | 4,296,000 | 4,210,000 | 4,117,000 | 3,928,000 | 3,901,000 | 3,852,000 | 3,624,000 | 3,487,000 | 4,631,000 | 4,483,000 | 4,405,000 | 4,262,000 |
| Debt-to-capital ratio | 0.34 | 0.37 | 0.37 | 0.38 | 0.40 | 0.39 | 0.40 | 0.41 | 0.41 | 0.41 | 0.43 | 0.44 | 0.44 | 0.45 | 0.48 | 0.48 | 0.39 | 0.41 | 0.44 | 0.47 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $2,615,000K ÷ ($2,615,000K + $5,166,000K)
= 0.34
Owens Corning's debt-to-capital ratio has displayed relative stability over the past eight quarters, ranging from 0.37 to 0.41. This ratio indicates that, on average, the company finances approximately 37% to 41% of its operations with debt.
The slight decrease in the debt-to-capital ratio from Q4 2022 to Q1 2023 may suggest a potential improvement in the company's financial leverage position. However, the ratio has remained relatively consistent since then, signaling that Owens Corning has maintained a balanced mix of debt and equity in its capital structure.
Overall, Owens Corning's debt-to-capital ratio demonstrates a moderate level of leverage, which could imply that the company has a manageable level of debt in relation to its overall capitalization. Investors and stakeholders may find this ratio reassuring as it indicates a prudent approach to managing the company's financial obligations.