Stepan Company (SCL)
Debt-to-capital ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,169,930 | 1,216,490 | 1,166,060 | 1,074,190 | 986,693 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $1,169,930K)
= 0.00
Stepan Company's debt-to-capital ratio has remained consistently at 0.00 from December 31, 2020, to December 31, 2024. This indicates that the company has not used any debt to finance its operations during this period. A debt-to-capital ratio of 0.00 suggests that all of the company's capital structure is funded by equity rather than debt, which can be viewed positively by investors and creditors as it signifies lower financial risk and potential for financial distress. Stepan Company's ability to operate without relying on debt financing may indicate strong cash flows or prudent financial management. Investors and stakeholders may view this stability in the debt-to-capital ratio as a sign of financial strength and stability in the company's capital structure over the evaluated period.
Peer comparison
Dec 31, 2024