Service Corporation International (SCI)
Debt-to-capital ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 4,751,450 | 4,595,970 | 4,688,660 | 4,613,200 | 4,649,160 | 4,511,530 | 4,452,370 | 4,327,790 | 4,251,080 | 4,127,410 | 3,954,480 | 3,962,940 | 3,901,300 | 3,759,970 | 3,772,450 | 3,439,100 | 3,514,180 | 3,584,510 | 3,573,710 | 3,535,750 |
| Total stockholders’ equity | US$ in thousands | 1,678,000 | 1,627,180 | 1,539,580 | 1,590,600 | 1,541,260 | 1,630,430 | 1,645,140 | 1,621,710 | 1,673,190 | 1,677,200 | 1,839,350 | 1,842,750 | 1,909,440 | 1,941,900 | 1,918,140 | 1,850,710 | 1,752,750 | 1,743,070 | 1,754,280 | 1,751,090 |
| Debt-to-capital ratio | 0.74 | 0.74 | 0.75 | 0.74 | 0.75 | 0.73 | 0.73 | 0.73 | 0.72 | 0.71 | 0.68 | 0.68 | 0.67 | 0.66 | 0.66 | 0.65 | 0.67 | 0.67 | 0.67 | 0.67 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $4,751,450K ÷ ($4,751,450K + $1,678,000K)
= 0.74
The debt-to-capital ratio of Service Corporation International has been relatively stable over the past few years, ranging from 0.65 to 0.75. This ratio indicates the proportion of the company's capital that is financed by debt.
The ratio has shown a slight upward trend from 0.65 in March 2021 to 0.74 in December 2024. This suggests that the company has been relying more on debt financing compared to its capital over this period.
A ratio of around 0.74 to 0.75 indicates that Service Corporation International relies on debt for approximately 74% to 75% of its capital structure. This level of debt in the capital structure may signal that the company has a moderate to somewhat high level of leverage, which can increase financial risk but also potentially enhance returns for shareholders.
Overall, the trend in the debt-to-capital ratio for Service Corporation International suggests a consistent reliance on debt financing to support its operations and growth strategies. It is important for stakeholders to monitor this ratio in conjunction with other financial metrics to assess the company's financial health and risk profile effectively.
Peer comparison
Dec 31, 2024