Pfizer Inc (PFE)

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	61,538,000	32,884,000	36,195,000	37,133,000	35,955,000
Total stockholders’ equity	US$ in thousands	89,014,000	95,661,000	77,201,000	63,238,000	63,143,000
Debt-to-capital ratio		0.41	0.26	0.32	0.37	0.36

December 31, 2023 calculation

Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $61,538,000K ÷ ($61,538,000K + $89,014,000K)
= 0.41

The debt-to-capital ratio of Pfizer Inc. has fluctuated over the past five years. In 2023, the ratio stands at 0.45, indicating that 45% of the company's capital structure is funded by debt. This represents an increase from 2022 when the ratio was 0.27. The rising trend in the debt-to-capital ratio from 2022 to 2023 suggests a higher reliance on debt financing compared to equity financing. However, it is noteworthy that in 2023, the ratio is still within a reasonable range and does not raise significant concerns about the company's financial leverage. Over the five-year period, the ratio reached its peak in 2019 at 0.45, dropped to 0.33 in 2021, and then increased again in 2023. The variations in the debt-to-capital ratio reflect changes in Pfizer's capital structure and financing decisions over the years.