Balance Sheet: Liabilities and Stockholders’ Equity

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

Kellanova, consolidated balance sheet: liabilities and stockholders’ equity

US$ in millions

	Dec 30, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 28, 2019
Current maturities of long-term debt	663)	780)	712)	627)	620)
Notes payable	121)	467)	137)	102)	107)
Accounts payable	2,314)	2,973)	2,573)	2,471)	2,387)
Current operating lease liabilities	121)	121)	116)	117)	114)
Accrued advertising and promotion	766)	766)	714)	776)	641)
Accrued salaries and wages	278)	370)	300)	378)	290)
Accrued income taxes	57)	49)	49)	58)	42)
Customer deposits	85)	150)	138)	—)	—)
Other current liabilities	655)	673)	576)	709)	577)
Other current liabilities	797)	872)	763)	767)	619)
Current liabilities	5,060)	6,349)	5,315)	5,238)	4,778)
Long-term debt, excluding current maturities	5,089)	5,317)	6,262)	6,746)	7,195)
Non-current operating lease liabilities	532)	486)	502)	520)	433)
Deferred income taxes	497)	760)	722)	562)	596)
Pension liability	613)	709)	706)	769)	705)
Income taxes payable	40)	37)	40)	56)	81)
Nonpension postretirement benefits	22)	22)	32)	34)	33)
Other	399)	441)	384)	435)	429)
Other liabilities	461)	500)	456)	525)	543)
Non-current liabilities	7,192)	7,772)	8,648)	9,122)	9,472)
Total liabilities	12,252)	14,121)	13,963)	14,360)	14,250)
Common stock, $0.25 par value	105)	105)	105)	105)	105)
Capital in excess of par value	1,101)	1,068)	1,023)	972)	921)
Retained earnings	8,804)	9,197)	9,028)	8,326)	7,859)
Treasury stock, at cost	(4,794)	(4,721)	(4,715)	(4,559)	(4,690)
Accumulated other comprehensive loss	(2,041)	(1,708)	(1,721)	(1,732)	(1,448)
Total Kellanova equity	3,175)	3,941)	3,720)	3,112)	2,747)
Noncontrolling interests	194)	434)	495)	524)	567)
Total equity	3,369)	4,375)	4,215)	3,636)	3,314)
Total liabilities and equity	15,621)	18,496)	18,178)	17,996)	17,564)

Based on: 10-K (reporting date: 2023-12-30), 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: 2019-12-28).

Current Liabilities: The current liabilities showed a general increasing trend from 2019 through 2022, rising from $4,778 million to a peak of $6,349 million, before decreasing to $5,060 million in 2023. Notably, accounts payable increased steadily up to 2022, reaching $2,973 million, and then declined sharply to $2,314 million in 2023. Notes payable experienced volatility, spiking significantly in 2022 to $467 million before returning closer to previous levels at $121 million in 2023. Accrued advertising and promotion remained relatively stable after an initial rise in 2020, while accrued salaries and wages fluctuated, peaking in 2020 and 2022 and decreasing in 2023. Customer deposits appeared only from 2021 onward, peaking in 2022 before a decrease in 2023. Other current liabilities showed minor fluctuations but overall remained stable.
Long-Term Liabilities: Long-term debt (excluding current maturities) demonstrated a clear downward trend throughout the period, decreasing from $7,195 million in 2019 to $5,089 million in 2023. Non-current operating lease liabilities showed minor fluctuations with a moderate increase in 2023 after previous declines. Deferred income taxes increased from 2019 to 2022, peaking at $760 million, and then fell sharply to $497 million in 2023. Pension liability and related nonpension postretirement benefits slightly declined over the entire period. Other non-current liabilities presented a gradual downward trajectory. Overall, non-current liabilities decreased substantially from $9,472 million to $7,192 million between 2019 and 2023.
Total Liabilities: Total liabilities remained fairly stable from 2019 through 2022, fluctuating around the $14,000 million mark, peaking at $14,360 million in 2020 and dipping slightly in 2021. However, a significant reduction to $12,252 million was observed in 2023, reflecting decreases in both current and long-term liabilities.
Equity: Equity metrics revealed an upward trend until 2022 with total equity growing from $3,314 million in 2019 to a high of $4,375 million in 2022, before declining to $3,369 million in 2023. Total Kellanova equity followed a similar pattern, increasing steadily until 2022 and then dropping noticeably in 2023. Retained earnings increased consistently through 2022 but declined in 2023. Treasury stock value (negative) deepened over the years, suggesting ongoing stock repurchases or similar activities. Accumulated other comprehensive loss worsened particularly in 2023, which contributed to the decline in total equity. Noncontrolling interests declined steadily from $567 million in 2019 to $194 million in 2023, reflecting reduced minority stakes or buyouts.
Overall Financial Position: The total liabilities and equity grew steadily between 2019 and 2022 from $17,564 million to a peak of $18,496 million, then dropped sharply to $15,621 million in 2023. This change was driven by reduced liabilities and a contraction in equity. The data indicates a possible strategic deleveraging or asset divestiture in 2023, along with a decline in retained earnings and comprehensive income impacting equity. The patterns in current liabilities, especially in accounts payable and notes payable, suggest a more conservative short-term obligations approach in 2023 compared to prior years. The overall financial structure appears to have shifted towards lower leverage and smaller equity base by the end of the most recent fiscal year.

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Kellanova (NYSE:K)

Balance Sheet: Liabilities and Stockholders’ Equity