Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Kinder Morgan Inc., solvency ratios
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).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Kinder Morgan Inc. debt to equity ratio improved from 2017 to 2018 and from 2018 to 2019. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Kinder Morgan Inc. debt to equity ratio (including operating lease liability) improved from 2017 to 2018 and from 2018 to 2019. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Kinder Morgan Inc. debt to capital ratio improved from 2017 to 2018 and from 2018 to 2019. |
| 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. | Kinder Morgan Inc. debt to capital ratio (including operating lease liability) improved from 2017 to 2018 and from 2018 to 2019. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Kinder Morgan Inc. debt to assets ratio improved from 2017 to 2018 and from 2018 to 2019. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Kinder Morgan Inc. debt to assets ratio (including operating lease liability) improved from 2017 to 2018 and from 2018 to 2019. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Kinder Morgan Inc. financial leverage ratio decreased from 2017 to 2018 and from 2018 to 2019. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Kinder Morgan Inc. interest coverage ratio improved from 2017 to 2018 and from 2018 to 2019. |
Debt to Equity
Kinder Morgan Inc., debt to equity calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt | 2,477) | 3,388) | 2,828) | 2,696) | 821) | |
| Long-term debt, excluding current portion | 31,915) | 33,936) | 35,015) | 37,354) | 42,406) | |
| Total debt | 34,392) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Total Kinder Morgan, Inc.’s stockholders’ equity | 33,742) | 33,678) | 33,636) | 34,431) | 35,119) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 1.02 | 1.11 | 1.13 | 1.16 | 1.23 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Chevron Corp. | 0.19 | — | — | — | — | |
| ConocoPhillips | 0.43 | — | — | — | — | |
| Exxon Mobil Corp. | 0.24 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.86 | — | — | — | — | |
| Occidental Petroleum Corp. | 1.13 | — | — | — | — | |
| Valero Energy Corp. | 0.44 | — | — | — | — | |
| Debt to Equity, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.36 | — | — | — | — | |
| Debt to Equity, Industry | ||||||
| Energy | 0.37 | — | — | — | — | |
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).
1 2019 Calculation
Debt to equity = Total debt ÷ Total Kinder Morgan, Inc.’s stockholders’ equity
= 34,392 ÷ 33,742 = 1.02
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. | Kinder Morgan Inc. debt to equity ratio improved from 2017 to 2018 and from 2018 to 2019. |
Debt to Equity (including Operating Lease Liability)
Kinder Morgan Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt | 2,477) | 3,388) | 2,828) | 2,696) | 821) | |
| Long-term debt, excluding current portion | 31,915) | 33,936) | 35,015) | 37,354) | 42,406) | |
| Total debt | 34,392) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Short-term operating lease liability (located in Other current liabilities) | 40) | —) | —) | —) | —) | |
| Long-term operating lease liability (located in Other long-term liabilities and deferred credits) | 289) | —) | —) | —) | —) | |
| Total debt (including operating lease liability) | 34,721) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Total Kinder Morgan, Inc.’s stockholders’ equity | 33,742) | 33,678) | 33,636) | 34,431) | 35,119) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 1.03 | 1.11 | 1.13 | 1.16 | 1.23 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.21 | — | — | — | — | |
| ConocoPhillips | 0.45 | — | — | — | — | |
| Exxon Mobil Corp. | 0.27 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.93 | — | — | — | — | |
| Occidental Petroleum Corp. | 1.17 | — | — | — | — | |
| Valero Energy Corp. | 0.50 | — | — | — | — | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.39 | — | — | — | — | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Energy | 0.41 | — | — | — | — | |
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).
1 2019 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total Kinder Morgan, Inc.’s stockholders’ equity
= 34,721 ÷ 33,742 = 1.03
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. | Kinder Morgan Inc. debt to equity ratio (including operating lease liability) improved from 2017 to 2018 and from 2018 to 2019. |
Debt to Capital
Kinder Morgan Inc., debt to capital calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt | 2,477) | 3,388) | 2,828) | 2,696) | 821) | |
| Long-term debt, excluding current portion | 31,915) | 33,936) | 35,015) | 37,354) | 42,406) | |
| Total debt | 34,392) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Total Kinder Morgan, Inc.’s stockholders’ equity | 33,742) | 33,678) | 33,636) | 34,431) | 35,119) | |
| Total capital | 68,134) | 71,002) | 71,479) | 74,481) | 78,346) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.50 | 0.53 | 0.53 | 0.54 | 0.55 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Chevron Corp. | 0.16 | — | — | — | — | |
| ConocoPhillips | 0.30 | — | — | — | — | |
| Exxon Mobil Corp. | 0.20 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.46 | — | — | — | — | |
| Occidental Petroleum Corp. | 0.53 | — | — | — | — | |
| Valero Energy Corp. | 0.31 | — | — | — | — | |
| Debt to Capital, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.26 | — | — | — | — | |
| Debt to Capital, Industry | ||||||
| Energy | 0.27 | — | — | — | — | |
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).
1 2019 Calculation
Debt to capital = Total debt ÷ Total capital
= 34,392 ÷ 68,134 = 0.50
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. | Kinder Morgan Inc. debt to capital ratio improved from 2017 to 2018 and from 2018 to 2019. |
Debt to Capital (including Operating Lease Liability)
Kinder Morgan Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt | 2,477) | 3,388) | 2,828) | 2,696) | 821) | |
| Long-term debt, excluding current portion | 31,915) | 33,936) | 35,015) | 37,354) | 42,406) | |
| Total debt | 34,392) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Short-term operating lease liability (located in Other current liabilities) | 40) | —) | —) | —) | —) | |
| Long-term operating lease liability (located in Other long-term liabilities and deferred credits) | 289) | —) | —) | —) | —) | |
| Total debt (including operating lease liability) | 34,721) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Total Kinder Morgan, Inc.’s stockholders’ equity | 33,742) | 33,678) | 33,636) | 34,431) | 35,119) | |
| Total capital (including operating lease liability) | 68,463) | 71,002) | 71,479) | 74,481) | 78,346) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.51 | 0.53 | 0.53 | 0.54 | 0.55 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.18 | — | — | — | — | |
| ConocoPhillips | 0.31 | — | — | — | — | |
| Exxon Mobil Corp. | 0.22 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.48 | — | — | — | — | |
| Occidental Petroleum Corp. | 0.54 | — | — | — | — | |
| Valero Energy Corp. | 0.33 | — | — | — | — | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.28 | — | — | — | — | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Energy | 0.29 | — | — | — | — | |
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).
1 2019 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 34,721 ÷ 68,463 = 0.51
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. | Kinder Morgan Inc. debt to capital ratio (including operating lease liability) improved from 2017 to 2018 and from 2018 to 2019. |
Debt to Assets
Kinder Morgan Inc., debt to assets calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt | 2,477) | 3,388) | 2,828) | 2,696) | 821) | |
| Long-term debt, excluding current portion | 31,915) | 33,936) | 35,015) | 37,354) | 42,406) | |
| Total debt | 34,392) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Total assets | 74,157) | 78,866) | 79,055) | 80,305) | 84,104) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.46 | 0.47 | 0.48 | 0.50 | 0.51 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Chevron Corp. | 0.11 | — | — | — | — | |
| ConocoPhillips | 0.21 | — | — | — | — | |
| Exxon Mobil Corp. | 0.13 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.29 | — | — | — | — | |
| Occidental Petroleum Corp. | 0.35 | — | — | — | — | |
| Valero Energy Corp. | 0.18 | — | — | — | — | |
| Debt to Assets, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.18 | — | — | — | — | |
| Debt to Assets, Industry | ||||||
| Energy | 0.18 | — | — | — | — | |
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).
1 2019 Calculation
Debt to assets = Total debt ÷ Total assets
= 34,392 ÷ 74,157 = 0.46
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. | Kinder Morgan Inc. debt to assets ratio improved from 2017 to 2018 and from 2018 to 2019. |
Debt to Assets (including Operating Lease Liability)
Kinder Morgan Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt | 2,477) | 3,388) | 2,828) | 2,696) | 821) | |
| Long-term debt, excluding current portion | 31,915) | 33,936) | 35,015) | 37,354) | 42,406) | |
| Total debt | 34,392) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Short-term operating lease liability (located in Other current liabilities) | 40) | —) | —) | —) | —) | |
| Long-term operating lease liability (located in Other long-term liabilities and deferred credits) | 289) | —) | —) | —) | —) | |
| Total debt (including operating lease liability) | 34,721) | 37,324) | 37,843) | 40,050) | 43,227) | |
| Total assets | 74,157) | 78,866) | 79,055) | 80,305) | 84,104) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.47 | 0.47 | 0.48 | 0.50 | 0.51 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.13 | — | — | — | — | |
| ConocoPhillips | 0.22 | — | — | — | — | |
| Exxon Mobil Corp. | 0.15 | — | — | — | — | |
| Marathon Petroleum Corp. | 0.32 | — | — | — | — | |
| Occidental Petroleum Corp. | 0.37 | — | — | — | — | |
| Valero Energy Corp. | 0.20 | — | — | — | — | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.19 | — | — | — | — | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Energy | 0.20 | — | — | — | — | |
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).
1 2019 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 34,721 ÷ 74,157 = 0.47
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. | Kinder Morgan Inc. debt to assets ratio (including operating lease liability) improved from 2017 to 2018 and from 2018 to 2019. |
Financial Leverage
Kinder Morgan Inc., financial leverage calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Total assets | 74,157) | 78,866) | 79,055) | 80,305) | 84,104) | |
| Total Kinder Morgan, Inc.’s stockholders’ equity | 33,742) | 33,678) | 33,636) | 34,431) | 35,119) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 2.20 | 2.34 | 2.35 | 2.33 | 2.39 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Chevron Corp. | 1.65 | — | — | — | — | |
| ConocoPhillips | 2.02 | — | — | — | — | |
| Exxon Mobil Corp. | 1.89 | — | — | — | — | |
| Marathon Petroleum Corp. | 2.93 | — | — | — | — | |
| Occidental Petroleum Corp. | 3.19 | — | — | — | — | |
| Valero Energy Corp. | 2.47 | — | — | — | — | |
| Financial Leverage, Sector | ||||||
| Oil, Gas & Consumable Fuels | 2.02 | — | — | — | — | |
| Financial Leverage, Industry | ||||||
| Energy | 2.04 | — | — | — | — | |
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).
1 2019 Calculation
Financial leverage = Total assets ÷ Total Kinder Morgan, Inc.’s stockholders’ equity
= 74,157 ÷ 33,742 = 2.20
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. | Kinder Morgan Inc. financial leverage ratio decreased from 2017 to 2018 and from 2018 to 2019. |
Interest Coverage
Kinder Morgan Inc., interest coverage calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Kinder Morgan, Inc. | 2,190) | 1,609) | 183) | 708) | 253) | |
| Add: Net income attributable to noncontrolling interest | 49) | 310) | 40) | 13) | (45) | |
| Add: Income tax expense | 926) | 587) | 1,938) | 917) | 564) | |
| Add: Interest, net | 1,801) | 1,917) | 1,832) | 1,806) | 2,051) | |
| Earnings before interest and tax (EBIT) | 4,966) | 4,423) | 3,993) | 3,444) | 2,823) | |
| Solvency Ratio | ||||||
| Interest coverage1 | 2.76 | 2.31 | 2.18 | 1.91 | 1.38 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Chevron Corp. | 7.94 | — | — | — | — | |
| ConocoPhillips | 13.24 | — | — | — | — | |
| Exxon Mobil Corp. | 25.16 | — | — | — | — | |
| Marathon Petroleum Corp. | 4.50 | — | — | — | — | |
| Occidental Petroleum Corp. | 1.17 | — | — | — | — | |
| Valero Energy Corp. | 8.68 | — | — | — | — | |
| Interest Coverage, Sector | ||||||
| Oil, Gas & Consumable Fuels | 9.35 | — | — | — | — | |
| Interest Coverage, Industry | ||||||
| Energy | 6.66 | — | — | — | — | |
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).
1 2019 Calculation
Interest coverage = EBIT ÷ Interest expense
= 4,966 ÷ 1,801 = 2.76
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. | Kinder Morgan Inc. interest coverage ratio improved from 2017 to 2018 and from 2018 to 2019. |