Stepan Company (SCL)
Debt-to-assets 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 | 401,248 | 422,375 | 438,269 | 453,742 | 455,029 | 466,766 | 383,503 | 397,760 | 322,862 | 232,184 | 196,529 | 160,847 | 160,812 | 170,063 | 184,315 | 198,566 | 198,532 | 207,783 | 207,748 | 239,063 |
| Total assets | US$ in thousands | 2,363,350 | 2,333,530 | 2,430,820 | 2,445,940 | 2,433,170 | 2,336,770 | 2,288,800 | 2,272,600 | 2,065,610 | 1,955,940 | 1,887,300 | 1,827,940 | 1,752,340 | 1,617,650 | 1,543,410 | 1,506,300 | 1,579,370 | 1,518,370 | 1,528,970 | 1,526,000 |
| Debt-to-assets ratio | 0.17 | 0.18 | 0.18 | 0.19 | 0.19 | 0.20 | 0.17 | 0.18 | 0.16 | 0.12 | 0.10 | 0.09 | 0.09 | 0.11 | 0.12 | 0.13 | 0.13 | 0.14 | 0.14 | 0.16 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $401,248K ÷ $2,363,350K
= 0.17
Stepan Co.'s debt-to-assets ratio has been relatively stable over the past eight quarters, ranging from 0.23 to 0.29. The ratio indicates that, on average, about 25% to 29% of the company's assets are financed by debt. This suggests that Stepan Co. has a conservative approach to financing its operations, as the majority of its assets are financed through equity. The consistent ratio over the quarters indicates a stable capital structure and a manageable level of debt relative to its total assets. It also implies that the company is not excessively reliant on debt to fund its operations and investments, which can be viewed positively by investors and creditors.
Peer comparison
Dec 31, 2023