Analysis of Debt
Total Debt (Carrying Amount)
Allergan PLC, balance sheet: debt
US$ in thousands
Based on: 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31).
- Current portion of long-term debt and capital leases
- The current portion of long-term debt and capital leases exhibited significant fluctuations over the analyzed periods. It increased from approximately 2.43 billion USD at the end of 2015 to about 4.24 billion USD at the end of 2017. In 2018, this value sharply declined to approximately 868 million USD, representing the lowest level in the period, before rising again to around 4.53 billion USD in 2019. This pattern indicates variability in short-term debt obligations, potentially influenced by refinancing activities or changes in debt maturity profiles.
- Long-term debt and capital leases, excluding current portion
- The long-term debt excluding the current portion demonstrated a consistent downward trend throughout the periods. Starting from nearly 40.29 billion USD at the end of 2015, it steadily decreased each year, reaching approximately 18.12 billion USD by the end of 2019. This decline indicates a reduction in the company's long-term debt obligations, suggesting either significant repayments, refinancing with shorter-term instruments, or a deliberate strategy to deleverage over the period.
- Total long-term debt and capital leases, including current portion (carrying amount)
- Total long-term debt, combining both current and non-current portions, showed a consistent decrease from around 42.73 billion USD in 2015 to approximately 22.65 billion USD in 2019. The decline was relatively steady, with the most pronounced drop occurring between 2017 and 2018. Despite the volatility in the current portion, the overall reduction in total debt highlights a clear effort to reduce financial leverage during the period under review.
Total Debt (Fair Value)
| Dec 31, 2019 | |
|---|---|
| Selected Financial Data (US$ in thousands) | |
| Senior Notes | 23,679,100) |
| Margin Loan | —) |
| Term Loan Indebtedness | —) |
| Other borrowings | 72,600) |
| Capital leases | —) |
| Total long-term debt and capital leases, including current portion (fair value) | 23,751,700) |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | 1.05 |
Based on: 10-K (reporting date: 2019-12-31).
Weighted-average Interest Rate on Debt
Weighted-average interest rate on debt: 3.50%
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| 3.00% | 2,529,500) | 75,885) | |
| 3.38% | 654,700) | 22,096) | |
| 4.88% | 463,400) | 22,591) | |
| 5.00% | 1,262,900) | 63,145) | |
| 3.45% | 2,945,100) | 101,606) | |
| 3.25% | 1,739,100) | 56,521) | |
| 2.80% | 352,700) | 9,876) | |
| 3.85% | 1,089,900) | 41,961) | |
| 3.80% | 3,172,400) | 120,551) | |
| 4.55% | 1,953,400) | 88,880) | |
| 4.63% | 482,800) | 22,330) | |
| 4.85% | 1,192,800) | 57,851) | |
| 4.75% | 968,700) | 46,013) | |
| 0.50% | 846,700) | 4,234) | |
| 1.50% | 589,800) | 8,847) | |
| 1.25% | 817,700) | 10,221) | |
| 2.63% | 648,200) | 17,015) | |
| 2.13% | 683,900) | 14,533) | |
| Total | 22,393,700) | 784,155) | |
| 3.50% | |||
Based on: 10-K (reporting date: 2019-12-31).
1 US$ in thousands
2 Weighted-average interest rate = 100 × 784,155 ÷ 22,393,700 = 3.50%