Timken Company (TKR)
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 | 2,826,500 | 2,582,400 | 2,268,300 | 2,294,900 | 2,152,900 |
| 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 + $2,826,500K)
= 0.00
Timken Company has maintained a debt-to-capital ratio of 0.00 consistently over the five-year period from December 31, 2020, to December 31, 2024. A debt-to-capital ratio of 0.00 indicates that the company has not utilized any debt to finance its operations or investments in relation to its total capital structure during this period. This suggests that the company has primarily relied on equity financing or retained earnings to fund its activities, which can be seen as a positive sign of financial stability and sound capital management. A low debt-to-capital ratio also implies lower financial risk and interest payment obligations for the company, potentially enhancing its ability to weather economic downturns or market volatility.
Peer comparison
Dec 31, 2024