Stock Analysis on Net
Stock Analysis on Net

Marathon Petroleum Corp. (NYSE:MPC)

This company has been moved to the archive! The financial data has not been updated since November 5, 2024.

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity

Marathon Petroleum Corp., common-size consolidated balance sheet: liabilities and stockholders’ equity

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Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Accounts payable 16.00 17.03 16.05 9.16 11.79
Payroll and benefits payable 1.30 1.08 1.07 0.86 1.14
Accrued taxes 1.42 1.27 1.44 1.30 1.20
Debt due within one year 2.27 1.19 0.67 3.35 0.72
Current operating lease liabilities 0.53 0.41 0.51 0.58 0.61
Environmental credits liability 0.90 0.48 0.00 0.00 0.00
Accrued interest payable 0.37 0.35 0.00 0.00 0.00
Other current liabilities 0.64 0.47 1.23 0.97 0.91
Other current liabilities 1.91% 1.30% 1.23% 0.97% 0.91%
Liabilities held for sale 0.00 0.00 0.00 2.17 0.00
Current liabilities 23.43% 22.27% 20.96% 18.39% 16.38%
Long-term debt due after one year 29.46 28.51 29.25 33.74 28.54
Deferred income taxes 6.78 6.57 6.60 7.28 6.49
Defined benefit postretirement plan obligations 1.28 1.24 1.19 2.49 1.67
Long-term operating lease liabilities 0.89 0.94 1.09 1.19 1.90
Deferred credits and other liabilities 1.64 1.45 1.58 1.42 1.28
Noncurrent liabilities 40.05% 38.70% 39.70% 46.12% 39.88%
Total liabilities 63.48% 60.97% 60.67% 64.51% 56.26%
Redeemable noncontrolling interest 1.04 1.08 1.13 1.14 0.98
Preferred stock, no shares issued and outstanding, par value $0.01 per share 0.00 0.00 0.00 0.00 0.00
Common stock, issued, par value $0.01 per share 0.01 0.01 0.01 0.01 0.01
Common stock, held in treasury, at cost -50.59 -35.42 -23.31 -17.80 -15.36
Additional paid-in capital 38.92 37.15 38.96 39.00 33.64
Retained earnings 40.19 29.08 15.12 5.46 16.22
Accumulated other comprehensive income (loss) -0.15 0.00 -0.08 -0.60 -0.32
Total MPC stockholders’ equity 28.38% 30.83% 30.70% 26.07% 34.19%
Noncontrolling interests 7.09 7.12 7.51 8.28 8.57
Total equity 35.48% 37.95% 38.20% 34.35% 42.76%
Total liabilities, redeemable noncontrolling interest and equity 100.00% 100.00% 100.00% 100.00% 100.00%

Based on: 10-K (reporting date: 2023-12-31), 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).

The capital structure of the organization reflects a shift toward higher leverage and an aggressive share repurchase strategy over the five-year period from 2019 to 2023. Total liabilities increased from 56.26% of the total balance sheet in 2019 to 63.48% by the end of 2023, indicating a greater reliance on debt and obligations to fund operations and capital allocation.

Current Liabilities Trend
Current liabilities have exhibited a consistent upward trajectory, rising from 16.38% in 2019 to 23.43% in 2023. This growth is primarily driven by accounts payable, which increased from 11.79% in 2019 to 16.00% in 2023, with a notable peak in 2022 at 17.03%. Short-term debt obligations have remained relatively low but volatile, ending at 2.27% in 2023.
Noncurrent Liabilities and Long-Term Debt
Noncurrent liabilities remained relatively stable between 2019 and 2023, ending at 40.05%. Long-term debt due after one year continues to be the most significant single component of the liability structure, fluctuating between 28.51% and 33.74%. Deferred income taxes have remained consistent, contributing approximately 6.4% to 7.3% of the total balance sheet annually.
Equity Composition and Share Repurchases
Total equity decreased from 42.76% in 2019 to 35.48% in 2023. A critical driver of this decline is the common stock held in treasury, which expanded from -15.36% to -50.59% over the period. This indicates a substantial and accelerating commitment to share buybacks, which reduces the overall equity base.
Retained Earnings Dynamics
Retained earnings experienced significant volatility, dropping sharply to 5.46% in 2020 before recovering aggressively to 40.19% by 2023. This recovery suggests strong net income generation in the latter years of the period, which served to partially offset the equity reduction caused by treasury stock acquisitions.
Noncontrolling Interests
Noncontrolling interests have seen a gradual decline as a percentage of the total balance sheet, moving from 8.57% in 2019 to 7.09% in 2023, reflecting a slight shift in the proportional ownership of consolidated subsidiaries.

In summary, the balance sheet demonstrates a strategic pivot toward returning capital to shareholders through buybacks, funded by a combination of increased retained earnings and a higher proportion of total liabilities. While total equity has decreased, the growth in retained earnings indicates a strong capacity for internal capital generation.

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