Starbucks Corporation (SBUX)
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 | 13,564,800 | 13,547,600 | 13,544,400 | 13,544,800 | 13,176,700 | 13,119,900 | 13,930,800 | 14,014,400 | 13,586,300 | 13,616,900 | 13,619,200 | 14,630,300 | 14,673,500 | 14,659,600 | 14,645,600 | 11,658,700 | 10,653,200 | 11,167,000 | 11,159,100 | 9,141,500 |
| Total stockholders’ equity | US$ in thousands | -8,616,000 | -7,994,800 | -8,348,600 | -8,506,900 | -8,673,800 | -8,706,600 | -8,666,500 | -8,768,000 | -8,457,200 | -5,321,200 | -6,800,800 | -7,654,000 | -7,909,700 | -7,805,100 | -8,621,600 | -7,530,100 | -6,759,900 | -6,232,200 | -4,320,600 | -5,036,900 |
| Debt-to-capital ratio | 2.74 | 2.44 | 2.61 | 2.69 | 2.93 | 2.97 | 2.65 | 2.67 | 2.65 | 1.64 | 2.00 | 2.10 | 2.17 | 2.14 | 2.43 | 2.82 | 2.74 | 2.26 | 1.63 | 2.23 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $13,564,800K ÷ ($13,564,800K + $-8,616,000K)
= 2.74
The debt-to-capital ratio for Starbucks Corp. has fluctuated over the past year, ranging from 2.08 to 2.39. This ratio indicates the proportion of a company's capital that is contributed by debt. A higher ratio suggests a greater reliance on debt financing, which can increase financial risk.
Starbucks' debt-to-capital ratio increased from 2.08 to 2.39 between October 1, 2023, and January 1, 2023, indicating a higher proportion of debt in the company's capital structure during this period. However, it decreased to 2.18 by July 2, 2023, before rising again to 2.35 by December 31, 2023.
Overall, the trend in Starbucks' debt-to-capital ratio suggests varying levels of debt relative to the company's total capital over the past year. This indicates potential changes in the company's leverage and financial risk, highlighting the importance of closely monitoring the company's debt management strategies.
Peer comparison
Dec 31, 2023