Zoetis Inc (ZTS)
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 | 6,564,000 | 6,552,000 | 6,555,000 | 6,559,000 | 6,552,000 | 5,210,000 | 5,221,000 | 5,228,000 | 6,592,000 | 6,592,000 | 6,592,000 | 6,587,000 | 6,595,000 | 6,595,000 | 7,194,000 | 5,963,000 | 5,947,000 | 6,447,000 | 6,446,000 | 6,444,000 |
| Total stockholders’ equity | US$ in thousands | 4,997,000 | 5,078,000 | 4,625,000 | 4,494,000 | 4,405,000 | 4,663,000 | 4,580,000 | 4,658,000 | 4,543,000 | 4,679,000 | 4,350,000 | 4,089,000 | 3,769,000 | 3,602,000 | 2,982,000 | 2,753,000 | 2,708,000 | 2,678,000 | 2,411,000 | 2,317,000 |
| Debt-to-capital ratio | 0.57 | 0.56 | 0.59 | 0.59 | 0.60 | 0.53 | 0.53 | 0.53 | 0.59 | 0.58 | 0.60 | 0.62 | 0.64 | 0.65 | 0.71 | 0.68 | 0.69 | 0.71 | 0.73 | 0.74 |
December 31, 2023 calculation
Debt-to-capital ratio = Long-term debt ÷ (Long-term debt + Total stockholders’ equity)
= $6,564,000K ÷ ($6,564,000K + $4,997,000K)
= 0.57
The debt-to-capital ratio of Zoetis Inc has shown some fluctuations over the past eight quarters. In Q4 2023 and Q3 2023, the ratio stood at 0.57 and 0.56 respectively, indicating that the company relied on debt for approximately 57% and 56% of its capital structure. This trend continued from Q2 2023 through Q1 2023, with the ratio hovering around 0.59 in each quarter.
Comparing these recent figures to the previous year, we can observe a slight increase in the debt-to-capital ratio. In Q4 2022, the ratio was 0.64, indicating a higher dependence on debt compared to the latest quarters. However, the ratio gradually decreased in the following quarters of 2022, stabilizing around 0.58-0.59.
Overall, the debt-to-capital ratio of Zoetis Inc has shown some variability but has generally remained within a relatively narrow range over the past two years. It is essential to monitor this ratio in conjunction with other financial metrics to assess the company's overall financial health and leverage position.
Peer comparison
Dec 31, 2023