Treehouse Foods Inc (THS)
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 | 1,350,500 | 1,475,900 | 1,539,300 | 1,394,700 | 1,335,800 | 1,782,300 | 1,775,400 | 1,814,900 | 1,899,500 | 1,912,200 | 1,943,600 | 1,963,800 | 2,250,400 | 2,257,600 | 2,122,200 | 2,212,800 | 2,146,100 | 2,214,200 | 2,311,300 | 2,337,500 |
| Total stockholders’ equity | US$ in thousands | 1,664,800 | 1,695,800 | 1,734,900 | 1,704,400 | 1,687,000 | 1,715,000 | 1,813,600 | 1,847,800 | 1,845,400 | 1,857,800 | 1,858,500 | 1,864,500 | 1,865,000 | 1,827,300 | 1,803,700 | 1,788,100 | 1,830,900 | 1,806,000 | 1,983,300 | 2,141,700 |
| Debt-to-capital ratio | 0.45 | 0.47 | 0.47 | 0.45 | 0.44 | 0.51 | 0.49 | 0.50 | 0.51 | 0.51 | 0.51 | 0.51 | 0.55 | 0.55 | 0.54 | 0.55 | 0.54 | 0.55 | 0.54 | 0.52 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $1,350,500K ÷ ($1,350,500K + $1,664,800K)
= 0.45
Treehouse Foods Inc's debt-to-capital ratio has shown fluctuation over the past eight quarters, ranging from a low of 0.45 in Q4 2022 to a high of 0.52 in Q3 2022. The ratio measures the proportion of the company's total debt to its total capital, indicating the extent to which debt is being used to finance its operations compared to equity.
The trend indicates that the company's reliance on debt relative to its capital has been somewhat inconsistent, with some quarters showing a higher debt-to-capital ratio than others. An increasing ratio may suggest a higher level of financial risk and leverage, while a decreasing ratio may indicate improved financial stability.
Overall, while the fluctuations in Treehouse Foods Inc's debt-to-capital ratio may indicate varying levels of financial leverage over time, further analysis of the company's financial health and overall debt management would provide a more comprehensive understanding of its financial position.
Peer comparison
Dec 31, 2023