Debt to Equity
since 2005
Calculation
Colgate-Palmolive Co., debt to equity, long-term trends, calculation
| Debt to equity | = | Total debt1 | ÷ | Total Colgate-Palmolive Company shareholders’ equity1 | |
|---|---|---|---|---|---|
| Dec 31, 2022 | 21.86 | = | 8,766) | ÷ | 401) |
| Dec 31, 2021 | 11.90 | = | 7,245) | ÷ | 609) |
| Dec 31, 2020 | 10.23 | = | 7,601) | ÷ | 743) |
| Dec 31, 2019 | 67.07 | = | 7,847) | ÷ | 117) |
| Dec 31, 2018 | — | = | 6,366) | ÷ | (102) |
| Dec 31, 2017 | — | = | 6,577) | ÷ | (60) |
| Dec 31, 2016 | — | = | 6,533) | ÷ | (243) |
| Dec 31, 2015 | — | = | 6,571) | ÷ | (299) |
| Dec 31, 2014 | 5.37 | = | 6,148) | ÷ | 1,145) |
| Dec 31, 2013 | 2.45 | = | 5,657) | ÷ | 2,305) |
| Dec 31, 2012 | 2.39 | = | 5,230) | ÷ | 2,189) |
| Dec 31, 2011 | 2.03 | = | 4,810) | ÷ | 2,375) |
| Dec 31, 2010 | 1.28 | = | 3,424) | ÷ | 2,675) |
| Dec 31, 2009 | 1.02 | = | 3,182) | ÷ | 3,116) |
| Dec 31, 2008 | 1.97 | = | 3,784) | ÷ | 1,922) |
| Dec 31, 2007 | 1.54 | = | 3,516) | ÷ | 2,286) |
| Dec 31, 2006 | 2.60 | = | 3,671) | ÷ | 1,411) |
| Dec 31, 2005 | 2.55 | = | 3,446) | ÷ | 1,350) |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 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), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$ in millions
The capital structure of the organization has undergone a significant transformation between 2005 and 2022, characterized by a consistent increase in total debt and substantial volatility in shareholders' equity. This shift has resulted in a dramatic escalation of the debt-to-equity ratio, particularly in the latter half of the observed period.
- Total Debt Trends
- A long-term upward trajectory in total debt is evident, rising from 3,446 million USD in 2005 to 8,766 million USD by 2022. While the increase was gradual between 2005 and 2010, a more pronounced acceleration occurred after 2011, with debt levels remaining consistently above 6,000 million USD from 2014 onwards.
- Shareholders' Equity Volatility
- Shareholders' equity exhibited significant instability, peaking at 3,116 million USD in 2009 before entering a period of steady decline. A critical transition occurred between 2014 and 2018, during which equity turned negative, reaching a low of -299 million USD in 2015. Although equity returned to positive territory in 2019, it remained substantially lower than pre-2014 levels, ending the period at 401 million USD in 2022.
- Debt to Equity Ratio Analysis
- The debt-to-equity ratio remained relatively stable between 1.02 and 2.60 from 2005 to 2013. However, as equity plummeted, the ratio spiked to 5.37 in 2014. Following a period of negative equity where the ratio was not applicable, a return to positive equity in 2019 triggered an extreme ratio peak of 67.07 due to the very small equity base of 117 million USD relative to 7,847 million USD in debt. While the ratio moderated in 2020 and 2021, it rose again to 21.86 by 2022, reflecting a highly leveraged financial position.
The overall data suggests a strategic shift toward a more aggressive leverage profile. The combination of rising total debt and a severely diminished equity base has fundamentally altered the solvency metrics, moving from a moderate leverage position in the mid-2000s to a highly leveraged state by 2022.
AI Ask an analyst for more
Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
How can I help you?
Comparison to Competitors
Colgate-Palmolive Co., debt to equity, long-term trends, comparison to competitors
| Colgate-Palmolive Co. | Procter & Gamble Co. | |
|---|---|---|
| Dec 31, 2022 | 21.86 | 0.68 |
| Dec 31, 2021 | 11.90 | 0.69 |
| Dec 31, 2020 | 10.23 | 0.75 |
| Dec 31, 2019 | 67.07 | 0.64 |
| Dec 31, 2018 | — | 0.60 |
| Dec 31, 2017 | — | 0.57 |
| Dec 31, 2016 | — | 0.53 |
| Dec 31, 2015 | — | 0.49 |
| Dec 31, 2014 | 5.37 | 0.51 |
| Dec 31, 2013 | 2.45 | 0.46 |
| Dec 31, 2012 | 2.39 | 0.47 |
| Dec 31, 2011 | 2.03 | 0.47 |
| Dec 31, 2010 | 1.28 | 0.49 |
| Dec 31, 2009 | 1.02 | 0.59 |
| Dec 31, 2008 | 1.97 | 0.53 |
| Dec 31, 2007 | 1.54 | 0.53 |
| Dec 31, 2006 | 2.60 | 0.61 |
| Dec 31, 2005 | 2.55 | 1.39 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 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), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Staples)
Colgate-Palmolive Co., debt to equity, long-term trends, comparison to industry (consumer staples)
| Colgate-Palmolive Co. | Consumer Staples | |
|---|---|---|
| Dec 31, 2022 | 21.86 | 1.07 |
| Dec 31, 2021 | 11.90 | 1.07 |
| Dec 31, 2020 | 10.23 | 1.24 |
| Dec 31, 2019 | 67.07 | 1.18 |
| Dec 31, 2018 | — | 1.11 |
| Dec 31, 2017 | — | 1.20 |
| Dec 31, 2016 | — | 1.09 |
| Dec 31, 2015 | — | 1.00 |
| Dec 31, 2014 | 5.37 | 0.96 |
| Dec 31, 2013 | 2.45 | 0.87 |
| Dec 31, 2012 | 2.39 | 0.83 |
| Dec 31, 2011 | 2.03 | 0.80 |
| Dec 31, 2010 | 1.28 | 0.74 |
| Dec 31, 2009 | 1.02 | 0.69 |
| Dec 31, 2008 | 1.97 | 0.68 |
| Dec 31, 2007 | 1.54 | 0.55 |
| Dec 31, 2006 | 2.60 | 0.52 |
| Dec 31, 2005 | 2.55 | 0.59 |
Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 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), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).