Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company’s ability to meet long-term obligations.
Solvency Ratios (Summary)
Exxon Mobil Corp., solvency ratios
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Exxon Mobil Corp.’s debt to equity ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Exxon Mobil Corp.’s debt to equity ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Exxon Mobil Corp.’s debt to capital ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Exxon Mobil Corp.’s debt to capital ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Exxon Mobil Corp.’s debt to assets ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Exxon Mobil Corp.’s debt to assets ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Exxon Mobil Corp.’s financial leverage ratio increased from 2018 to 2019 and from 2019 to 2020. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Exxon Mobil Corp.’s interest coverage ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Exxon Mobil Corp.’s fixed charge coverage ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Equity
Exxon Mobil Corp., debt to equity calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Notes and loans payable | 20,458 | 20,578 | 17,258 | 17,930 | 13,830 | |
| Long-term debt, excluding due within one year | 47,182 | 26,342 | 20,538 | 24,406 | 28,932 | |
| Total debt | 67,640 | 46,920 | 37,796 | 42,336 | 42,762 | |
| Total ExxonMobil share of equity | 157,150 | 191,650 | 191,794 | 187,688 | 167,325 | |
| Solvency Ratio | ||||||
| Debt to equity1 | 0.43 | 0.24 | 0.20 | 0.23 | 0.26 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Chevron Corp. | 0.34 | 0.19 | 0.22 | 0.26 | 0.32 | |
| Debt to Equity, Sector | ||||||
| Oil & Gas Producers | — | 0.22 | 0.21 | 0.24 | 0.28 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Debt to equity = Total debt ÷ Total ExxonMobil share of equity
= 67,640 ÷ 157,150 = 0.43
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Exxon Mobil Corp.’s debt to equity ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Equity (including Operating Lease Liability)
Exxon Mobil Corp., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Notes and loans payable | 20,458 | 20,578 | 17,258 | 17,930 | 13,830 | |
| Long-term debt, excluding due within one year | 47,182 | 26,342 | 20,538 | 24,406 | 28,932 | |
| Total debt | 67,640 | 46,920 | 37,796 | 42,336 | 42,762 | |
| Operating lease liability due within one year (included in Accounts payable and accrued liabilities) | 1,168 | 1,211 | — | — | — | |
| Long-term operating lease liability (included in Other long-term obligations) | 3,994 | 4,482 | — | — | — | |
| Total debt (including operating lease liability) | 72,802 | 52,613 | 37,796 | 42,336 | 42,762 | |
| Total ExxonMobil share of equity | 157,150 | 191,650 | 191,794 | 187,688 | 167,325 | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 0.46 | 0.27 | 0.20 | 0.23 | 0.26 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.37 | 0.21 | 0.22 | 0.26 | 0.32 | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Oil & Gas Producers | — | 0.25 | 0.21 | 0.24 | 0.28 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total ExxonMobil share of equity
= 72,802 ÷ 157,150 = 0.46
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Exxon Mobil Corp.’s debt to equity ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Capital
Exxon Mobil Corp., debt to capital calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Notes and loans payable | 20,458 | 20,578 | 17,258 | 17,930 | 13,830 | |
| Long-term debt, excluding due within one year | 47,182 | 26,342 | 20,538 | 24,406 | 28,932 | |
| Total debt | 67,640 | 46,920 | 37,796 | 42,336 | 42,762 | |
| Total ExxonMobil share of equity | 157,150 | 191,650 | 191,794 | 187,688 | 167,325 | |
| Total capital | 224,790 | 238,570 | 229,590 | 230,024 | 210,087 | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.30 | 0.20 | 0.16 | 0.18 | 0.20 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Chevron Corp. | 0.25 | 0.16 | 0.18 | 0.21 | 0.24 | |
| Debt to Capital, Sector | ||||||
| Oil & Gas Producers | — | 0.18 | 0.17 | 0.19 | 0.22 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Debt to capital = Total debt ÷ Total capital
= 67,640 ÷ 224,790 = 0.30
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Exxon Mobil Corp.’s debt to capital ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Capital (including Operating Lease Liability)
Exxon Mobil Corp., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Notes and loans payable | 20,458 | 20,578 | 17,258 | 17,930 | 13,830 | |
| Long-term debt, excluding due within one year | 47,182 | 26,342 | 20,538 | 24,406 | 28,932 | |
| Total debt | 67,640 | 46,920 | 37,796 | 42,336 | 42,762 | |
| Operating lease liability due within one year (included in Accounts payable and accrued liabilities) | 1,168 | 1,211 | — | — | — | |
| Long-term operating lease liability (included in Other long-term obligations) | 3,994 | 4,482 | — | — | — | |
| Total debt (including operating lease liability) | 72,802 | 52,613 | 37,796 | 42,336 | 42,762 | |
| Total ExxonMobil share of equity | 157,150 | 191,650 | 191,794 | 187,688 | 167,325 | |
| Total capital (including operating lease liability) | 229,952 | 244,263 | 229,590 | 230,024 | 210,087 | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.32 | 0.22 | 0.16 | 0.18 | 0.20 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.27 | 0.18 | 0.18 | 0.21 | 0.24 | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Oil & Gas Producers | — | 0.20 | 0.17 | 0.19 | 0.22 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 72,802 ÷ 229,952 = 0.32
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Exxon Mobil Corp.’s debt to capital ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Assets
Exxon Mobil Corp., debt to assets calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Notes and loans payable | 20,458 | 20,578 | 17,258 | 17,930 | 13,830 | |
| Long-term debt, excluding due within one year | 47,182 | 26,342 | 20,538 | 24,406 | 28,932 | |
| Total debt | 67,640 | 46,920 | 37,796 | 42,336 | 42,762 | |
| Total assets | 332,750 | 362,597 | 346,196 | 348,691 | 330,314 | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.20 | 0.13 | 0.11 | 0.12 | 0.13 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Chevron Corp. | 0.18 | 0.11 | 0.14 | 0.15 | 0.18 | |
| Debt to Assets, Sector | ||||||
| Oil & Gas Producers | — | 0.12 | 0.12 | 0.13 | 0.15 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Debt to assets = Total debt ÷ Total assets
= 67,640 ÷ 332,750 = 0.20
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Exxon Mobil Corp.’s debt to assets ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Debt to Assets (including Operating Lease Liability)
Exxon Mobil Corp., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Notes and loans payable | 20,458 | 20,578 | 17,258 | 17,930 | 13,830 | |
| Long-term debt, excluding due within one year | 47,182 | 26,342 | 20,538 | 24,406 | 28,932 | |
| Total debt | 67,640 | 46,920 | 37,796 | 42,336 | 42,762 | |
| Operating lease liability due within one year (included in Accounts payable and accrued liabilities) | 1,168 | 1,211 | — | — | — | |
| Long-term operating lease liability (included in Other long-term obligations) | 3,994 | 4,482 | — | — | — | |
| Total debt (including operating lease liability) | 72,802 | 52,613 | 37,796 | 42,336 | 42,762 | |
| Total assets | 332,750 | 362,597 | 346,196 | 348,691 | 330,314 | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.22 | 0.15 | 0.11 | 0.12 | 0.13 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.20 | 0.13 | 0.14 | 0.15 | 0.18 | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Oil & Gas Producers | — | 0.14 | 0.12 | 0.13 | 0.15 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 72,802 ÷ 332,750 = 0.22
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Exxon Mobil Corp.’s debt to assets ratio (including operating lease liability) deteriorated from 2018 to 2019 and from 2019 to 2020. |
Financial Leverage
Exxon Mobil Corp., financial leverage calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Total assets | 332,750 | 362,597 | 346,196 | 348,691 | 330,314 | |
| Total ExxonMobil share of equity | 157,150 | 191,650 | 191,794 | 187,688 | 167,325 | |
| Solvency Ratio | ||||||
| Financial leverage1 | 2.12 | 1.89 | 1.81 | 1.86 | 1.97 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Chevron Corp. | 1.82 | 1.65 | 1.64 | 1.71 | 1.79 | |
| Financial Leverage, Sector | ||||||
| Oil & Gas Producers | — | 1.79 | 1.73 | 1.79 | 1.89 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Financial leverage = Total assets ÷ Total ExxonMobil share of equity
= 332,750 ÷ 157,150 = 2.12
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Exxon Mobil Corp.’s financial leverage ratio increased from 2018 to 2019 and from 2019 to 2020. |
Interest Coverage
Exxon Mobil Corp., interest coverage calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income (loss) attributable to ExxonMobil | (22,440) | 14,340 | 20,840 | 19,710 | 7,840 | |
| Add: Net income attributable to noncontrolling interest | (811) | 434 | 581 | 138 | 535 | |
| Add: Income tax expense | (5,632) | 5,282 | 9,532 | (1,174) | (406) | |
| Add: Interest expense | 1,158 | 830 | 766 | 601 | 453 | |
| Earnings before interest and tax (EBIT) | (27,725) | 20,886 | 31,719 | 19,275 | 8,422 | |
| Solvency Ratio | ||||||
| Interest coverage1 | -23.94 | 25.16 | 41.41 | 32.07 | 18.59 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Chevron Corp. | -9.69 | 7.94 | 28.51 | 31.04 | -9.75 | |
| Interest Coverage, Sector | ||||||
| Oil & Gas Producers | — | 16.72 | 35.03 | 31.72 | 9.88 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Interest coverage = EBIT ÷ Interest expense
= -27,725 ÷ 1,158 = -23.94
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Exxon Mobil Corp.’s interest coverage ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |
Fixed Charge Coverage
Exxon Mobil Corp., fixed charge coverage calculation, comparison to benchmarks
| Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income (loss) attributable to ExxonMobil | (22,440) | 14,340 | 20,840 | 19,710 | 7,840 | |
| Add: Net income attributable to noncontrolling interest | (811) | 434 | 581 | 138 | 535 | |
| Add: Income tax expense | (5,632) | 5,282 | 9,532 | (1,174) | (406) | |
| Add: Interest expense | 1,158 | 830 | 766 | 601 | 453 | |
| Earnings before interest and tax (EBIT) | (27,725) | 20,886 | 31,719 | 19,275 | 8,422 | |
| Add: Operating lease cost | 3,166 | 3,476 | 2,715 | 2,618 | 3,091 | |
| Earnings before fixed charges and tax | (24,559) | 24,362 | 34,434 | 21,893 | 11,513 | |
| Interest expense | 1,158 | 830 | 766 | 601 | 453 | |
| Operating lease cost | 3,166 | 3,476 | 2,715 | 2,618 | 3,091 | |
| Fixed charges | 4,324 | 4,306 | 3,481 | 3,219 | 3,544 | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | -5.68 | 5.66 | 9.89 | 6.80 | 3.25 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Chevron Corp. | -1.29 | 2.62 | 14.12 | 9.93 | -0.89 | |
| Fixed Charge Coverage, Sector | ||||||
| Oil & Gas Producers | — | 4.31 | 11.21 | 7.56 | 2.24 | |
Based on: 10-K (filing date: 2021-02-24), 10-K (filing date: 2020-02-26), 10-K (filing date: 2019-02-27), 10-K (filing date: 2018-02-28), 10-K (filing date: 2017-02-22).
1 2020 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= -24,559 ÷ 4,324 = -5.68
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Exxon Mobil Corp.’s fixed charge coverage ratio deteriorated from 2018 to 2019 and from 2019 to 2020. |