Danaher Corp. (NYSE:DHR)

The analysis of the percentage distribution of liabilities and stockholders’ equity over the periods reveals several notable trends and shifts. Overall, the proportions reflect gradual changes in the company’s capital structure and liability management.

Notes payable and current portion of long-term debt

This category generally remains very low, mostly below 1%, except for a temporary increase in late 2022 and through 2023 where levels peaked just below 3%. Post this peak, the ratios trended downward, returning to below 1% by early 2025, indicating fluctuating short-term debt obligations with some moderate increase and subsequent reduction.

Trade accounts payable

Trade accounts payable consistently accounts for approximately 2% to 3% of total liabilities and equity, showing slight fluctuations over time. After reaching about 3.09% at the end of 2021, it slightly declined and stabilized closer to 2% by early 2025, reflecting stable management of payables with minor variations.

Accrued expenses and other liabilities

This item shows a gradual increase from roughly 5% to a peak around 7% in late 2020, then fluctuates mildy between 5.5% and 6.5%. In the most recent periods, it remains steady in the mid-5% range, suggesting controlled growth and consistent handling of accrued liabilities.

Current liabilities

Current liabilities as a proportion of total capital decreased sharply from about 12% in early 2020 to near 7.9% mid-2020, before climbing back to fluctuate around 9% to 10% from 2021 onwards, with a moderate downward trend towards 8.4% by early 2025. This indicates relatively stable short-term obligations with minor variations over the years.

Other long-term liabilities

This category remains fairly stable, hovering around 9% to 10% in early periods, then showing a gradual decline to about 7% by late 2024 and early 2025. This suggests a moderate reduction in other long-term liabilities over time.

Long-term debt, excluding current portion

A noticeable downward trend is evident here, starting from nearly 33% of total liabilities and equity in early 2020 and declining steadily to approximately 20% by early 2025. This significant reduction points to strong deleveraging or payoff of long-term debt obligations over the period.

Long-term liabilities

Corresponding with the changes in long-term debt, total long-term liabilities decreased from above 42% in early 2020 to just above 27% by early 2025. This confirms an overall decline in the company’s long-term obligations relative to its equity and total liabilities.

Total liabilities

The total liabilities ratio dropped from around 55% in 2020 to about 36% by early 2025, marking a significant shift toward a stronger equity base by the end of the period.

Preferred stock, no par value

Preferred stock proportions showed a steady decrease from over 4% in mid-2020 to under 2% by late 2022, ceasing to report values thereafter. This may reflect redemption, conversion, or retirement of preferred shares.

Common stock

The percentage of common stock remains negligible and constant at about 0.01% throughout the periods, indicating minimal change in the par value of common stock relative to total capital.

Additional paid-in capital

This item fluctuated moderately, increasing from around 11% to peaks near 21.5% by early 2025, albeit with some variability. The increase suggests additional equity contributions or retained earnings transferred into paid-in capital components.

Treasury stock

Data on treasury stock appears only in the last couple of quarters, showing negative values around -10% to -12%, indicating an increasing holding of treasury shares, which reduces total stockholders’ equity proportionally.

Retained earnings

A clear upward trend is evident, rising from about 36% early in 2020 to nearly 57% by early 2025. This strong increase implies ongoing profitability and/or accumulation of earnings retained within the company rather than distributed as dividends.

Accumulated other comprehensive loss

This element fluctuates between -4% and near zero, showing volatility but remaining a relatively small negative component. Its variation suggests variable but moderate unrealized losses or losses net of gains in other comprehensive income items.

Total Danaher stockholders’ equity

Stockholders’ equity as a whole strengthened over the period, increasing from about 45% in early 2020 to above 64% in early 2025. This rise is consistent with the decline in liabilities and the increases in retained earnings and paid-in capital.

Noncontrolling interests

Noncontrolling interests remain minimal, consistently near zero percent, indicating they represent an insignificant portion of the overall equity and liabilities.

In summary, the data indicates a substantial deleveraging pattern with decreasing long-term and total liabilities, accompanied by a concomitant increase in equity components, especially retained earnings and additional paid-in capital. Short-term liabilities and payables remain relatively stable with minor fluctuations, while preferred stock was largely phased out by late 2022. The growing treasury stock balances in the latest periods mildly offset the equity growth. Overall, the capital structure reflects improved financial strength and equity buildup across the analyzed timeframe.