Stock Analysis on Net
Stock Analysis on Net

McDonald’s Corp. (NYSE:MCD)

$24.99

Common-Size Balance Sheet: Liabilities and Stockholders’ Equity

Paying user area

Try for free

McDonald’s Corp. pages available for free this week:

The data is hidden behind: . Unhide it.

Get access

This is a one-time payment. There is no automatic renewal.

We accept:

Visa Mastercard Maestro Discover JCB PayPal Google Pay
Visa Secure Mastercard Identity Check

McDonald’s Corp., common-size consolidated balance sheet: liabilities and stockholders’ equity

Microsoft Excel
Dec 31, 2025 Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021
Short-term borrowings and current maturities of long-term debt
Accounts payable
Current operating lease liability
Current finance lease liability
Current lease liability
Income taxes
Other taxes
Accrued interest
Accrued payroll and other liabilities
Current liabilities
Long-term debt, excluding current maturities
Long-term operating lease liability
Long-term finance lease liability
Long-term lease liability
Long-term income taxes
Deferred revenues, initial franchise fees
Other long-term liabilities
Deferred income taxes
Long-term liabilities
Total liabilities
Preferred stock, no par value; issued: none
Common stock, $.01 par value
Additional paid-in capital
Retained earnings
Accumulated other comprehensive loss
Common stock in treasury, at cost
Shareholders’ deficit
Total liabilities and shareholders’ deficit

Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31).

The capital structure is characterized by a high reliance on long-term debt and a persistent shareholders' deficit, reflecting an aggressive capital management strategy. Total liabilities have remained consistently above 100% of the total liabilities and shareholders' deficit, peaking at 111.90% in 2022 before trending downward to 103.01% by 2025.

Long-Term Debt and Liability Composition
Long-term debt, excluding current maturities, serves as the primary funding source, fluctuating between 66.15% and 71.19% over the analyzed period. While there was a peak in 2022, the proportion has stabilized around 67.16% by 2025. Other long-term liabilities, specifically deferred and long-term income taxes, have shown a marked decline, with long-term income taxes dropping from 3.52% in 2021 to 0.23% in 2025.
Lease Obligation Trends
A shift in the composition of lease liabilities is evident. Long-term operating lease liabilities have decreased steadily from 24.18% in 2021 to 19.86% in 2025. Conversely, long-term finance lease liabilities have increased from a negligible amount in 2021 to 3.91% in 2025. Despite these internal shifts, the total long-term lease liability has remained relatively stable, ending the period at 23.77%.
Current Liabilities and Liquidity
Current liabilities generally represent a small portion of the total structure, typically ranging between 7.00% and 7.54%. A temporary spike to 12.22% occurred in 2023, primarily driven by the introduction of short-term borrowings and current maturities of long-term debt at 3.90%. Accounts payable and accrued payroll have remained consistent, suggesting stable short-term operational obligations.
Equity and Shareholders' Deficit
The entity maintains a negative shareholders' equity position, a result of significant treasury stock acquisitions. Common stock in treasury has consistently exerted a large negative impact, ranging from -125.91% to -142.01%. This is partially offset by substantial retained earnings, which peaked at 121.11% in 2024. Despite the overall deficit, the shareholders' deficit has improved over time, narrowing from -11.90% in 2022 to -3.01% by the end of 2025.