Stock Analysis on Net
Stock Analysis on Net
Microsoft Excel LibreOffice Calc

Intel Corp. (NASDAQ:INTC)

Analysis of Debt

Advanced level

Total Debt (Carrying Amount)

Intel Corp., balance sheet: debt

US$ in millions

Microsoft Excel LibreOffice Calc
Dec 28, 2019 Dec 29, 2018 Dec 30, 2017 Dec 31, 2016 Dec 26, 2015
Short-term debt 3,693  1,261  1,776  4,634  2,634 
Long-term debt 25,308  25,098  25,037  20,649  20,036 
Total debt (carrying amount) 29,001  26,359  26,813  25,283  22,670 

Based on: 10-K (filing date: 2020-01-24), 10-K (filing date: 2019-02-01), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-12).

Debt item Description The company
Total debt (carrying amount) Sum of the carrying values as of the balance sheet date of all debt plus capital lease obligations. Intel Corp.’s total debt decreased from 2017 to 2018 but then increased from 2018 to 2019 exceeding 2017 level.

Total Debt (Fair Value)

Microsoft Excel LibreOffice Calc
Dec 28, 2019
Selected Financial Data (US$ in millions)
Commercial paper and drafts payable 2 
Short- and long-term debt, including current portion 30,600 
Total debt (fair value) 30,602 
Financial Ratio
Debt, fair value to carrying amount ratio 1.06

Based on: 10-K (filing date: 2020-01-24).

Weighted-average Interest Rate on Debt

Weighted-average effective interest rate on debt: 3.30%

Interest Rate Debt Amount1 Interest Rate × Debt Amount Weighted-average Interest Rate2
2.56% 700  18 
2.82% 800  23 
1.89% 1,000  19 
2.49% 1,750  44 
1.79% 500  9 
3.71% 2,000  74 
2.74% 750  21 
3.50% 1,000  35 
2.97% 382  11 
3.09% 1,500  46 
3.22% 400  13 
3.07% 1,250  38 
2.84% 600  17 
4.44% 2,250  100 
2.91% 1,000  29 
3.48% 1,000  35 
2.48% 1,250  31 
3.56% 750  27 
4.31% 802  35 
3.74% 567  21 
4.41% 772  34 
3.68% 1,250  46 
3.64% 1,000  36 
3.20% 640  20 
4.07% 1,967  80 
3.26% 1,500  49 
2.48% 423  10 
2.88% 138  4 
2.48% 438  11 
3.37% 372  13 
Total 28,751  949 
3.30%

Based on: 10-K (filing date: 2020-01-24).

1 US$ in millions

2 Weighted-average interest rate = 100 × 949 ÷ 28,751 = 3.30%

Interest Costs Incurred

Intel Corp., interest costs incurred

US$ in millions

Microsoft Excel LibreOffice Calc
12 months ended: Dec 28, 2019 Dec 29, 2018 Dec 30, 2017 Dec 31, 2016 Dec 26, 2015
Interest expense 489  468  646  733  337 
Interest capitalized 472  496  313  135  258 
Interest costs incurred 961  964  959  868  595 

Based on: 10-K (filing date: 2020-01-24), 10-K (filing date: 2019-02-01), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-12).

Debt item Description The company
Interest expense Amount of the cost of borrowed funds accounted for as interest expense for debt. Intel Corp.’s interest expense decreased from 2017 to 2018 but then slightly increased from 2018 to 2019.
Interest capitalized Amount of interest costs capitalized disclosed as an adjusting item to interest costs incurred. Intel Corp.’s interest capitalized increased from 2017 to 2018 but then slightly decreased from 2018 to 2019.
Interest costs incurred Total interest costs incurred during the period and either capitalized or charged against earnings. Intel Corp.’s interest costs incurred increased from 2017 to 2018 but then slightly decreased from 2018 to 2019 not reaching 2017 level.

Adjusted Interest Coverage Ratio

Microsoft Excel LibreOffice Calc
Dec 28, 2019 Dec 29, 2018 Dec 30, 2017 Dec 31, 2016 Dec 26, 2015
Selected Financial Data (US$ in millions)
Net income 21,048  21,053  9,601  10,316  11,420 
Add: Income tax expense 3,010  2,264  10,751  2,620  2,792 
Add: Interest expense 489  468  646  733  337 
Earnings before interest and tax (EBIT) 24,547  23,785  20,998  13,669  14,549 
 
Interest costs incurred 961  964  959  868  595 
Financial Ratio With and Without Capitalized Interest
Interest coverage ratio (without capitalized interest)1 50.20 50.82 32.50 18.65 43.17
Adjusted interest coverage ratio (with capitalized interest)2 25.54 24.67 21.90 15.75 24.45

Based on: 10-K (filing date: 2020-01-24), 10-K (filing date: 2019-02-01), 10-K (filing date: 2018-02-16), 10-K (filing date: 2017-02-17), 10-K (filing date: 2016-02-12).

2019 Calculations

1 Interest coverage ratio (without capitalized interest) = EBIT ÷ Interest expense
= 24,547 ÷ 489 = 50.20

2 Adjusted interest coverage ratio (with capitalized interest) = EBIT ÷ Interest costs incurred
= 24,547 ÷ 961 = 25.54

Solvency ratio Description The company
Adjusted interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments (including capitalized interest). Intel Corp.’s adjusted interest coverage ratio improved from 2017 to 2018 and from 2018 to 2019.