Stock Analysis on Net

Sherwin-Williams Co. (NYSE:SHW)

Analysis of Solvency Ratios 
Quarterly Data

Microsoft Excel

Solvency Ratios (Summary)

Sherwin-Williams Co., solvency ratios (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Debt Ratios
Debt to equity 2.43 2.61 2.44 2.44 2.76 3.06 2.65 2.63 2.86 3.50 3.41 4.06 4.77 4.74 3.95 3.34 3.19 2.96 2.30 1.97 2.29 2.97
Debt to equity (including operating lease liability) 2.90 3.10 2.94 2.91 3.28 3.62 3.18 3.14 3.40 4.11 4.03 4.79 5.62 5.59 4.72 4.02 3.83 3.54 2.80 2.40 2.74 3.50
Debt to capital 0.71 0.72 0.71 0.71 0.73 0.75 0.73 0.72 0.74 0.78 0.77 0.80 0.83 0.83 0.80 0.77 0.76 0.75 0.70 0.66 0.70 0.75
Debt to capital (including operating lease liability) 0.74 0.76 0.75 0.74 0.77 0.78 0.76 0.76 0.77 0.80 0.80 0.83 0.85 0.85 0.83 0.80 0.79 0.78 0.74 0.71 0.73 0.78
Debt to assets 0.42 0.44 0.42 0.42 0.44 0.46 0.43 0.43 0.45 0.48 0.47 0.47 0.48 0.49 0.47 0.43 0.44 0.45 0.41 0.40 0.43 0.47
Debt to assets (including operating lease liability) 0.50 0.52 0.50 0.50 0.52 0.54 0.51 0.52 0.53 0.56 0.55 0.56 0.57 0.57 0.56 0.52 0.53 0.53 0.50 0.48 0.52 0.56
Financial leverage 5.76 5.97 5.83 5.77 6.33 6.69 6.18 6.09 6.38 7.30 7.28 8.56 9.91 9.73 8.48 7.71 7.22 6.64 5.65 4.95 5.30 6.25
Coverage Ratios
Interest coverage 8.84 9.32 9.30 9.04 9.03 8.62 8.45 8.26 7.97 7.62 7.58 7.50 7.07 7.47 7.72 8.35 9.14 8.81 8.40

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).


Debt to Equity
The debt to equity ratio initially decreased from 2.97 in Q1 2020 to 1.97 in Q3 2020, indicating a reduction in leverage relative to shareholders' equity. Subsequently, the ratio increased consistently, peaking at 4.77 in Q2 2022, suggesting a period of higher financial leverage. After this peak, the ratio demonstrated a downward trend, stabilizing between approximately 2.43 and 3.06 during 2023 and into mid-2025, implying a moderation in reliance on debt financing over the longer term.
Debt to Equity (Including Operating Lease Liability)
This ratio follows a similar pattern to the standard debt to equity ratio but at higher absolute levels due to the inclusion of operating lease liabilities. It dropped from 3.5 in Q1 2020 to 2.4 in Q3 2020, before rising to a peak of 5.62 in Q2 2022. Then, the ratio declined and fluctuated moderately in the range of 2.9 to 4.11 through 2023 and the first half of 2025, reflecting a comparable long-term stabilization trend as seen in the standard debt to equity measure.
Debt to Capital
The debt to capital ratio showed a modest decline from 0.75 in Q1 2020 to 0.66 in Q3 2020, indicating a decrease in the proportion of debt within total capital. This was followed by a rebound to 0.83 by Q1 2022. Subsequently, the ratio slightly decreased and remained relatively stable around 0.71 to 0.75 through mid-2025, signaling consistent capital structure proportions with moderate leverage levels over the period.
Debt to Capital (Including Operating Lease Liability)
Including operating leases, this ratio displayed a trend consistent with the debt to capital ratio but at somewhat elevated levels. It decreased from 0.78 in Q1 2020 to 0.71 in Q3 2020, followed by an increase to a peak of 0.85 in Q1 2022. Afterward, it declined and stayed relatively steady between 0.74 and 0.8 through mid-2025, reflecting stable leverage when accounting for lease obligations.
Debt to Assets
The debt to assets ratio decreased from 0.47 in Q1 2020 to 0.40 in Q3 2020, suggesting reduced debt levels relative to total assets. It then rose to 0.49 in Q1 2022 before declining and fluctuating between 0.42 and 0.48 through mid-2025, indicating a moderate level of leverage compared with asset base with some variability over time.
Debt to Assets (Including Operating Lease Liability)
When including operating lease liabilities, this ratio showed a similar pattern but generally higher values. It fell from 0.56 in Q1 2020 to 0.48 in Q3 2020 and then climbed to 0.57 in early 2022. Thereafter, it exhibited a mild decline, staying between 0.5 and 0.56 through the analysis period, consistent with stable leverage adjusted for lease obligations.
Financial Leverage
Financial leverage decreased from 6.25 in Q1 2020 to 4.95 in Q3 2020, indicating reduced use of debt relative to equity. It increased sharply thereafter, reaching a peak of 9.91 in Q2 2022. Following this high point, financial leverage steadily trended downward, stabilizing around 5.7 to 7.3 during 2023 to mid-2025. This suggests ongoing moderation in leverage after a period of heightened debt usage.
Interest Coverage
Interest coverage data starts from Q4 2020 at 8.4 and displays a generally stable to improving trend over the period. It rose gradually to a peak of 9.32 in Q1 2025, indicating an increasing ability to service interest expenses with operating earnings. The stable and improving interest coverage ratio suggests solid operational cash flow relative to interest obligations throughout the observed quarters.

Debt Ratios


Coverage Ratios


Debt to Equity

Sherwin-Williams Co., debt to equity calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Short-term borrowings 1,706,700 1,798,500 662,400 915,500 1,358,300 1,256,300 374,200 338,600 806,200 1,481,300 978,100 945,200 2,012,000 1,739,700 763,500 709,400 762,100 818,100 100 200 559,500 1,051,500
Current portion of long-term debt 1,150,700 1,150,800 1,049,200 1,048,900 849,700 1,349,100 1,098,800 1,098,200 499,500 600 600 600 600 260,700 260,600 662,100 687,100 428,500 25,100 24,100 700 429,500
Long-term debt, excluding current portion 7,828,900 7,827,100 8,176,800 8,175,300 8,130,800 8,129,500 8,377,900 8,499,200 9,095,700 9,593,100 9,591,000 9,588,900 8,593,600 8,592,300 8,590,900 7,604,900 7,603,800 7,862,400 8,266,900 8,266,900 8,289,400 8,289,200
Total debt 10,686,300 10,776,400 9,888,400 10,139,700 10,338,800 10,734,900 9,850,900 9,936,000 10,401,400 11,075,000 10,569,700 10,534,700 10,606,200 10,592,700 9,615,000 8,976,400 9,053,000 9,109,000 8,292,100 8,291,200 8,849,600 9,770,200
 
Shareholders’ equity 4,400,900 4,130,100 4,051,200 4,156,100 3,751,800 3,503,700 3,715,800 3,780,000 3,631,100 3,166,800 3,102,100 2,597,800 2,224,600 2,234,300 2,437,200 2,690,300 2,840,400 3,078,700 3,610,800 4,207,300 3,869,900 3,289,100
Solvency Ratio
Debt to equity1 2.43 2.61 2.44 2.44 2.76 3.06 2.65 2.63 2.86 3.50 3.41 4.06 4.77 4.74 3.95 3.34 3.19 2.96 2.30 1.97 2.29 2.97
Benchmarks
Debt to Equity, Competitors2
Linde plc 0.67 0.63 0.57 0.57 0.56 0.52 0.49 0.46 0.44 0.47 0.45 0.41 0.40 0.38 0.32 0.38 0.34 0.34 0.34 0.39 0.38 0.38

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Debt to equity = Total debt ÷ Shareholders’ equity
= 10,686,300 ÷ 4,400,900 = 2.43

2 Click competitor name to see calculations.


Total Debt
The total debt exhibited a fluctuating pattern over the periods presented. Initially, from March 31, 2020, to September 30, 2020, there was a consistent decline in total debt, dropping from approximately $9,770 million to $8,291 million. Following this trough in late 2020, debt levels increased again, peaking notably in March 31, 2022, at around $10,593 million. The trend thereafter shows moderate fluctuations, with a slight downward movement through September 30, 2023, reaching about $9,936 million. However, the debt rose again during the last reported quarters, crossing above $10,700 million by March 31, 2025. This trajectory suggests a pattern of debt management with periods of strategic reduction followed by increases, reflecting possible financing or capital expenditure cycles.
Shareholders’ Equity
Shareholders’ equity showed considerable variation with an overall positive trend toward the end of the period. At the start, equity values climbed from approximately $3,289 million in March 2020 to a peak near $4,207 million in September 2020. This was followed by a substantial decline reaching a low point of roughly $2,437 million by December 31, 2021. Subsequently, the equity increased steadily with some volatility, rising to over $4,400 million by the final quarter in March 31, 2025. This recovery after the 2021 dip might indicate improved profitability, retained earnings accumulation, or capital injections strengthening the equity base.
Debt to Equity Ratio
The debt to equity ratio showed pronounced variability which mirrored the inverse movements of debt and equity. Initially high at 2.97 in March 2020, the ratio declined to a low of about 1.97 by September 2020. Thereafter, it increased sharply to a peak of nearly 4.77 in June 30, 2022, corresponding to the period when equity was near its trough and debt was elevated. From mid-2022 onwards, the ratio steadily decreased, reaching levels close to 2.43 by June 30, 2025. This indicates a strengthening equity position relative to debt or a reduction in leverage in the latter periods. The fluctuations suggest an adaptive capital structure with shifts balancing growth, risk management, and financing needs over time.

Debt to Equity (including Operating Lease Liability)

Sherwin-Williams Co., debt to equity (including operating lease liability) calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Short-term borrowings 1,706,700 1,798,500 662,400 915,500 1,358,300 1,256,300 374,200 338,600 806,200 1,481,300 978,100 945,200 2,012,000 1,739,700 763,500 709,400 762,100 818,100 100 200 559,500 1,051,500
Current portion of long-term debt 1,150,700 1,150,800 1,049,200 1,048,900 849,700 1,349,100 1,098,800 1,098,200 499,500 600 600 600 600 260,700 260,600 662,100 687,100 428,500 25,100 24,100 700 429,500
Long-term debt, excluding current portion 7,828,900 7,827,100 8,176,800 8,175,300 8,130,800 8,129,500 8,377,900 8,499,200 9,095,700 9,593,100 9,591,000 9,588,900 8,593,600 8,592,300 8,590,900 7,604,900 7,603,800 7,862,400 8,266,900 8,266,900 8,289,400 8,289,200
Total debt 10,686,300 10,776,400 9,888,400 10,139,700 10,338,800 10,734,900 9,850,900 9,936,000 10,401,400 11,075,000 10,569,700 10,534,700 10,606,200 10,592,700 9,615,000 8,976,400 9,053,000 9,109,000 8,292,100 8,291,200 8,849,600 9,770,200
Current portion of operating lease liabilities 480,700 470,100 466,600 462,800 457,800 454,000 449,300 441,100 436,100 430,200 425,300 418,100 418,100 416,000 409,700 398,800 393,000 385,800 387,300 379,500 369,400 371,100
Long-term operating lease liabilities, excluding current portion 1,603,200 1,573,400 1,558,300 1,496,500 1,502,900 1,495,100 1,509,500 1,502,900 1,503,200 1,494,900 1,512,900 1,492,400 1,483,100 1,481,200 1,470,700 1,433,900 1,429,500 1,402,900 1,434,100 1,421,300 1,390,700 1,373,700
Total debt (including operating lease liability) 12,770,200 12,819,900 11,913,300 12,099,000 12,299,500 12,684,000 11,809,700 11,880,000 12,340,700 13,000,100 12,507,900 12,445,200 12,507,400 12,489,900 11,495,400 10,809,100 10,875,500 10,897,700 10,113,500 10,092,000 10,609,700 11,515,000
 
Shareholders’ equity 4,400,900 4,130,100 4,051,200 4,156,100 3,751,800 3,503,700 3,715,800 3,780,000 3,631,100 3,166,800 3,102,100 2,597,800 2,224,600 2,234,300 2,437,200 2,690,300 2,840,400 3,078,700 3,610,800 4,207,300 3,869,900 3,289,100
Solvency Ratio
Debt to equity (including operating lease liability)1 2.90 3.10 2.94 2.91 3.28 3.62 3.18 3.14 3.40 4.11 4.03 4.79 5.62 5.59 4.72 4.02 3.83 3.54 2.80 2.40 2.74 3.50

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Shareholders’ equity
= 12,770,200 ÷ 4,400,900 = 2.90


Total debt (including operating lease liability)
The total debt exhibits fluctuations throughout the periods analyzed. Starting at approximately $11.5 billion in March 2020, the total debt declined steadily through September 2020 to around $10 billion. It then increased gradually towards the end of 2020, reaching just over $11.4 billion in December 2020. In 2021, debt levels showed an initial rise in the first quarter, peaking near $11.5 billion by year-end. During 2022, the total debt maintained a relatively stable position around $12.5 billion, with minor variations quarter to quarter. In 2023, the debt level initially rose to about $13 billion early in the year but trended downward subsequently to approximately $11.8 billion by the fourth quarter. The data for 2024 and mid-2025 indicates a moderate increase again, with values ranging from roughly $12 billion to $12.8 billion. Overall, the total debt reveals cyclical patterns with periods of both debt reduction and accumulation within the analyzed timeframe.
Shareholders’ equity
Shareholders' equity shows a general declining trend from March 2020 through the end of 2021, dropping from nearly $3.3 billion to around $2.4 billion. Early 2022 marked a turning point wherein equity began recovering steadily. By the end of 2022, equity had rebounded to approximately $3.1 billion and continued to improve through 2023, reaching nearly $3.8 billion by year-end. In 2024 and the first half of 2025, equity fluctuates between $3.5 billion and $4.4 billion, showing periods of incremental growth. This upward recovery after the initial downturn suggests improved equity performance in the later observed quarters.
Debt to equity ratio (including operating lease liability)
The debt to equity ratio initially decreased from 3.5 in March 2020 to a low of 2.4 in September 2020, reflecting a reduction in leverage or relative increase in equity. However, the ratio escalated significantly during 2021, peaking at 4.72 by December 2021, indicating a higher reliance on debt financing relative to equity. This ratio reached its highest point of 5.62 in mid-2022 before reversing direction and declining to around 4.03 by the end of 2022. The trend from 2023 onwards shows a continuing reduction in the debt to equity ratio, falling to approximately 2.9 by mid-2025, which implies strengthening equity or controlled debt levels. The overall pattern reveals considerable volatility in leverage, with elevated ratios indicating periods of increased financial risk, followed by phases of deleveraging and improved financial structure.
Summary
Throughout the periods observed, total debt fluctuated moderately but remained relatively elevated, while shareholders’ equity experienced an initial contraction followed by a sustained recovery trend. The debt to equity ratio mirrored these movements, initially decreasing, then spiking as equity diminished and debt grew, and finally decreasing again as equity strengthened and debt growth moderated. These dynamics reflect shifts in the company’s capital structure, suggesting phases of increased leverage risk which later gave way to a more balanced or cautious financial position.

Debt to Capital

Sherwin-Williams Co., debt to capital calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Short-term borrowings 1,706,700 1,798,500 662,400 915,500 1,358,300 1,256,300 374,200 338,600 806,200 1,481,300 978,100 945,200 2,012,000 1,739,700 763,500 709,400 762,100 818,100 100 200 559,500 1,051,500
Current portion of long-term debt 1,150,700 1,150,800 1,049,200 1,048,900 849,700 1,349,100 1,098,800 1,098,200 499,500 600 600 600 600 260,700 260,600 662,100 687,100 428,500 25,100 24,100 700 429,500
Long-term debt, excluding current portion 7,828,900 7,827,100 8,176,800 8,175,300 8,130,800 8,129,500 8,377,900 8,499,200 9,095,700 9,593,100 9,591,000 9,588,900 8,593,600 8,592,300 8,590,900 7,604,900 7,603,800 7,862,400 8,266,900 8,266,900 8,289,400 8,289,200
Total debt 10,686,300 10,776,400 9,888,400 10,139,700 10,338,800 10,734,900 9,850,900 9,936,000 10,401,400 11,075,000 10,569,700 10,534,700 10,606,200 10,592,700 9,615,000 8,976,400 9,053,000 9,109,000 8,292,100 8,291,200 8,849,600 9,770,200
Shareholders’ equity 4,400,900 4,130,100 4,051,200 4,156,100 3,751,800 3,503,700 3,715,800 3,780,000 3,631,100 3,166,800 3,102,100 2,597,800 2,224,600 2,234,300 2,437,200 2,690,300 2,840,400 3,078,700 3,610,800 4,207,300 3,869,900 3,289,100
Total capital 15,087,200 14,906,500 13,939,600 14,295,800 14,090,600 14,238,600 13,566,700 13,716,000 14,032,500 14,241,800 13,671,800 13,132,500 12,830,800 12,827,000 12,052,200 11,666,700 11,893,400 12,187,700 11,902,900 12,498,500 12,719,500 13,059,300
Solvency Ratio
Debt to capital1 0.71 0.72 0.71 0.71 0.73 0.75 0.73 0.72 0.74 0.78 0.77 0.80 0.83 0.83 0.80 0.77 0.76 0.75 0.70 0.66 0.70 0.75
Benchmarks
Debt to Capital, Competitors2
Linde plc 0.40 0.39 0.36 0.36 0.36 0.34 0.33 0.32 0.30 0.32 0.31 0.29 0.29 0.28 0.24 0.27 0.25 0.25 0.25 0.28 0.28 0.27

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Debt to capital = Total debt ÷ Total capital
= 10,686,300 ÷ 15,087,200 = 0.71

2 Click competitor name to see calculations.


Total Debt
The total debt levels exhibited fluctuations over the analyzed periods. Initially, there was a decline from approximately 9.77 billion US dollars in March 2020 to around 8.29 billion by the end of 2020. This decline was followed by an upward trend, peaking near 11.07 billion in March 2023. Subsequently, a general downward movement occurred, with total debt decreasing to around 9.89 billion by December 2024, though a slight increase was noted in the following quarters up to June 2025.
Total Capital
Total capital showed moderate variability but generally trended upward throughout the periods. Starting at roughly 13.06 billion US dollars in March 2020, the figure exhibited mild declines through 2020 and early 2021, followed by a steady increase reaching about 15.09 billion by June 2025. The growth was not entirely linear, with some periods reflecting stagnation or minor decreases, but the overall trajectory indicates strengthening capital base.
Debt to Capital Ratio
The debt to capital ratio demonstrated notable shifts during the timeline. Beginning at 0.75 in March 2020, there was a decrease to 0.66 by September 2020, indicating a reduction in leverage relative to capital. Thereafter, the ratio increased steadily, peaking at 0.83 in early 2022. Following this apex, the ratio declined gradually and stabilized around the low 0.70s range towards mid-2025. This pattern suggests the company experienced a phase of higher leverage which later eased, signaling a partial deleveraging or balance adjustment between debt and equity components.

Debt to Capital (including Operating Lease Liability)

Sherwin-Williams Co., debt to capital (including operating lease liability) calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Short-term borrowings 1,706,700 1,798,500 662,400 915,500 1,358,300 1,256,300 374,200 338,600 806,200 1,481,300 978,100 945,200 2,012,000 1,739,700 763,500 709,400 762,100 818,100 100 200 559,500 1,051,500
Current portion of long-term debt 1,150,700 1,150,800 1,049,200 1,048,900 849,700 1,349,100 1,098,800 1,098,200 499,500 600 600 600 600 260,700 260,600 662,100 687,100 428,500 25,100 24,100 700 429,500
Long-term debt, excluding current portion 7,828,900 7,827,100 8,176,800 8,175,300 8,130,800 8,129,500 8,377,900 8,499,200 9,095,700 9,593,100 9,591,000 9,588,900 8,593,600 8,592,300 8,590,900 7,604,900 7,603,800 7,862,400 8,266,900 8,266,900 8,289,400 8,289,200
Total debt 10,686,300 10,776,400 9,888,400 10,139,700 10,338,800 10,734,900 9,850,900 9,936,000 10,401,400 11,075,000 10,569,700 10,534,700 10,606,200 10,592,700 9,615,000 8,976,400 9,053,000 9,109,000 8,292,100 8,291,200 8,849,600 9,770,200
Current portion of operating lease liabilities 480,700 470,100 466,600 462,800 457,800 454,000 449,300 441,100 436,100 430,200 425,300 418,100 418,100 416,000 409,700 398,800 393,000 385,800 387,300 379,500 369,400 371,100
Long-term operating lease liabilities, excluding current portion 1,603,200 1,573,400 1,558,300 1,496,500 1,502,900 1,495,100 1,509,500 1,502,900 1,503,200 1,494,900 1,512,900 1,492,400 1,483,100 1,481,200 1,470,700 1,433,900 1,429,500 1,402,900 1,434,100 1,421,300 1,390,700 1,373,700
Total debt (including operating lease liability) 12,770,200 12,819,900 11,913,300 12,099,000 12,299,500 12,684,000 11,809,700 11,880,000 12,340,700 13,000,100 12,507,900 12,445,200 12,507,400 12,489,900 11,495,400 10,809,100 10,875,500 10,897,700 10,113,500 10,092,000 10,609,700 11,515,000
Shareholders’ equity 4,400,900 4,130,100 4,051,200 4,156,100 3,751,800 3,503,700 3,715,800 3,780,000 3,631,100 3,166,800 3,102,100 2,597,800 2,224,600 2,234,300 2,437,200 2,690,300 2,840,400 3,078,700 3,610,800 4,207,300 3,869,900 3,289,100
Total capital (including operating lease liability) 17,171,100 16,950,000 15,964,500 16,255,100 16,051,300 16,187,700 15,525,500 15,660,000 15,971,800 16,166,900 15,610,000 15,043,000 14,732,000 14,724,200 13,932,600 13,499,400 13,715,900 13,976,400 13,724,300 14,299,300 14,479,600 14,804,100
Solvency Ratio
Debt to capital (including operating lease liability)1 0.74 0.76 0.75 0.74 0.77 0.78 0.76 0.76 0.77 0.80 0.80 0.83 0.85 0.85 0.83 0.80 0.79 0.78 0.74 0.71 0.73 0.78

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 12,770,200 ÷ 17,171,100 = 0.74


The analysis of the financial trends over the observed quarters reveals notable dynamics in the company's debt structure and capital management.

Total debt (including operating lease liability)
Over the several quarters, total debt exhibited fluctuations with a general pattern of increase from early 2020 through the end of 2025. Initial debt levels near $11.5 billion in March 2020 decreased steadily until September 2020, followed by a rising trend that peaked above $13 billion by early 2023. Subsequent periods show some reduction and stabilization in debt levels, maintaining values generally between $11.8 billion and $13 billion through to mid-2025. This suggests active management of debt with periods of both deleveraging and increased borrowing.
Total capital (including operating lease liability)
Total capital showed a more consistent upward trend during the period. Starting at approximately $14.8 billion in March 2020, capital levels decreased slightly through 2020 but then increased steadily, reaching over $17 billion by mid-2025. This indicates overall growth in the company's capital base, which could be due to retained earnings, additional equity infusion, or other capital adjustments that enhanced the company's financial capacity.
Debt to capital ratio (including operating lease liability)
The ratio of debt to capital displayed variability reflecting the interplay between debt and capital levels. Beginning at 0.78 in early 2020, it declined to a low around 0.71 in late 2020, signaling a temporary reduction in leverage. Thereafter, the ratio increased to a peak of about 0.85 in 2021 and early 2022, indicating higher leverage during that period. From mid-2022 onward, the leverage ratio gradually reduced to values in the mid-0.70s by mid-2025. This trend suggests improved balance sheet strength with a relative decrease in reliance on debt financing as compared to capital over time.

In summary, the company's financial profile over the quarters shows active debt management alongside steadily increasing total capital. The leverage ratio trend reveals phases of increased borrowing followed by gradual deleveraging, reflecting strategic adjustments to optimize financial structure and potentially enhance creditworthiness and financial stability.


Debt to Assets

Sherwin-Williams Co., debt to assets calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Short-term borrowings 1,706,700 1,798,500 662,400 915,500 1,358,300 1,256,300 374,200 338,600 806,200 1,481,300 978,100 945,200 2,012,000 1,739,700 763,500 709,400 762,100 818,100 100 200 559,500 1,051,500
Current portion of long-term debt 1,150,700 1,150,800 1,049,200 1,048,900 849,700 1,349,100 1,098,800 1,098,200 499,500 600 600 600 600 260,700 260,600 662,100 687,100 428,500 25,100 24,100 700 429,500
Long-term debt, excluding current portion 7,828,900 7,827,100 8,176,800 8,175,300 8,130,800 8,129,500 8,377,900 8,499,200 9,095,700 9,593,100 9,591,000 9,588,900 8,593,600 8,592,300 8,590,900 7,604,900 7,603,800 7,862,400 8,266,900 8,266,900 8,289,400 8,289,200
Total debt 10,686,300 10,776,400 9,888,400 10,139,700 10,338,800 10,734,900 9,850,900 9,936,000 10,401,400 11,075,000 10,569,700 10,534,700 10,606,200 10,592,700 9,615,000 8,976,400 9,053,000 9,109,000 8,292,100 8,291,200 8,849,600 9,770,200
 
Total assets 25,363,600 24,636,100 23,632,600 23,968,300 23,734,000 23,428,100 22,954,400 23,004,500 23,166,100 23,129,900 22,594,000 22,245,800 22,052,800 21,730,400 20,666,700 20,736,600 20,519,600 20,435,000 20,401,600 20,809,700 20,494,500 20,570,300
Solvency Ratio
Debt to assets1 0.42 0.44 0.42 0.42 0.44 0.46 0.43 0.43 0.45 0.48 0.47 0.47 0.48 0.49 0.47 0.43 0.44 0.45 0.41 0.40 0.43 0.47
Benchmarks
Debt to Assets, Competitors2
Linde plc 0.30 0.29 0.27 0.27 0.27 0.25 0.24 0.23 0.22 0.23 0.22 0.21 0.21 0.20 0.17 0.20 0.18 0.19 0.18 0.20 0.20 0.20

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Debt to assets = Total debt ÷ Total assets
= 10,686,300 ÷ 25,363,600 = 0.42

2 Click competitor name to see calculations.


The data demonstrates fluctuations and overall trends in the company’s debt and asset levels over a series of quarterly periods from March 2020 through June 2025. A detailed analysis of these metrics reveals the following insights.

Total Debt
Total debt shows an initial decline from approximately 9.77 billion USD in March 2020 to around 8.29 billion USD in September 2020, indicating a significant reduction over these two quarters. Following this decrease, debt levels gradually increased, reaching a peak near 11.08 billion USD by March 2023. Thereafter, total debt exhibits a fluctuating but generally downward trend, with occasional increases, ending at about 10.69 billion USD in June 2025.
Total Assets
Total assets remain relatively stable initially, fluctuating slightly around 20.5 billion USD through 2020 and 2021. A more pronounced upward trend emerges from 2022 onward, with assets increasing steadily, reaching approximately 25.36 billion USD by June 2025. This steady asset growth over the later periods suggests expanding resource base or investments over time.
Debt to Assets Ratio
The debt-to-assets ratio mirrors the movements observed in debt and asset levels. Initially, the ratio declines from 0.47 in the first quarter of 2020 to 0.40 by September 2020, reflecting proportionally lower debt relative to assets. Subsequently, the ratio rises again, peaking at 0.49 in March 2022, indicating higher leverage. From this peak, the ratio trends slightly downward with some fluctuations, ending at approximately 0.42 in June 2025. These variations suggest changing leverage strategies, with periods of both increased and reduced reliance on debt financing.

Overall, the company has experienced a phase of debt reduction early in the period, followed by an increase aligned with asset growth. The latter years show growing assets accompanied by moderately managed debt levels, as indicated by the somewhat stabilized but fluctuating debt to asset ratios. This pattern may reflect strategic financial management to balance growth and leverage risks effectively over time.


Debt to Assets (including Operating Lease Liability)

Sherwin-Williams Co., debt to assets (including operating lease liability) calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Short-term borrowings 1,706,700 1,798,500 662,400 915,500 1,358,300 1,256,300 374,200 338,600 806,200 1,481,300 978,100 945,200 2,012,000 1,739,700 763,500 709,400 762,100 818,100 100 200 559,500 1,051,500
Current portion of long-term debt 1,150,700 1,150,800 1,049,200 1,048,900 849,700 1,349,100 1,098,800 1,098,200 499,500 600 600 600 600 260,700 260,600 662,100 687,100 428,500 25,100 24,100 700 429,500
Long-term debt, excluding current portion 7,828,900 7,827,100 8,176,800 8,175,300 8,130,800 8,129,500 8,377,900 8,499,200 9,095,700 9,593,100 9,591,000 9,588,900 8,593,600 8,592,300 8,590,900 7,604,900 7,603,800 7,862,400 8,266,900 8,266,900 8,289,400 8,289,200
Total debt 10,686,300 10,776,400 9,888,400 10,139,700 10,338,800 10,734,900 9,850,900 9,936,000 10,401,400 11,075,000 10,569,700 10,534,700 10,606,200 10,592,700 9,615,000 8,976,400 9,053,000 9,109,000 8,292,100 8,291,200 8,849,600 9,770,200
Current portion of operating lease liabilities 480,700 470,100 466,600 462,800 457,800 454,000 449,300 441,100 436,100 430,200 425,300 418,100 418,100 416,000 409,700 398,800 393,000 385,800 387,300 379,500 369,400 371,100
Long-term operating lease liabilities, excluding current portion 1,603,200 1,573,400 1,558,300 1,496,500 1,502,900 1,495,100 1,509,500 1,502,900 1,503,200 1,494,900 1,512,900 1,492,400 1,483,100 1,481,200 1,470,700 1,433,900 1,429,500 1,402,900 1,434,100 1,421,300 1,390,700 1,373,700
Total debt (including operating lease liability) 12,770,200 12,819,900 11,913,300 12,099,000 12,299,500 12,684,000 11,809,700 11,880,000 12,340,700 13,000,100 12,507,900 12,445,200 12,507,400 12,489,900 11,495,400 10,809,100 10,875,500 10,897,700 10,113,500 10,092,000 10,609,700 11,515,000
 
Total assets 25,363,600 24,636,100 23,632,600 23,968,300 23,734,000 23,428,100 22,954,400 23,004,500 23,166,100 23,129,900 22,594,000 22,245,800 22,052,800 21,730,400 20,666,700 20,736,600 20,519,600 20,435,000 20,401,600 20,809,700 20,494,500 20,570,300
Solvency Ratio
Debt to assets (including operating lease liability)1 0.50 0.52 0.50 0.50 0.52 0.54 0.51 0.52 0.53 0.56 0.55 0.56 0.57 0.57 0.56 0.52 0.53 0.53 0.50 0.48 0.52 0.56

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 12,770,200 ÷ 25,363,600 = 0.50


The analysis of the quarterly financial data reveals several important trends and patterns related to the company's leverage and asset base over the observed periods.

Total Debt (Including Operating Lease Liability)
The total debt fluctuated over the analyzed quarters, initially decreasing from approximately 11.5 billion US dollars in the first quarter of 2020 to around 10.1 billion US dollars by the third quarter of 2020. Thereafter, the debt level generally increased, reaching a peak near 13 billion US dollars in early 2023, followed by a decline during mid-2023 and stabilization slightly below 12 billion US dollars towards the end of 2024. In the first half of 2025, debt levels rose again, climbing above 12.7 billion US dollars. These variations suggest active management of debt levels, possibly reflecting changing financing strategies or capital expenditures.
Total Assets
The total assets remained relatively stable in 2020, fluctuating narrowly around 20.5 billion US dollars. Starting from 2021, assets showed a steady upward trajectory, rising notably from around 20.4 billion US dollars at the beginning of that year to roughly 25.3 billion US dollars by mid-2025. This increment indicates consistent growth in the asset base, which could be attributed to asset acquisitions, capital investments, or appreciation of existing assets.
Debt to Assets Ratio (Including Operating Lease Liability)
The debt to assets ratio demonstrated a decreasing trend during the initial periods, falling from 0.56 in early 2020 to 0.48 by the third quarter of 2020. Subsequent quarters exhibited fluctuations, with the ratio rising back to approximately 0.56 at the end of 2021. Starting in 2022, the ratio gradually declined and stabilized around 0.5, indicating that, despite increases in total debt, asset growth outpaced debt increases overall. This stabilization suggests a balanced leverage position, maintaining moderate risk levels in capital structure management.

Overall, the data indicate a strategy combining cautious increase in debt with continuous growth in total assets, resulting in a relatively stable debt to assets ratio in recent periods. This balance implies effective capital management that supports asset expansion while controlling leverage risk.


Financial Leverage

Sherwin-Williams Co., financial leverage calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Total assets 25,363,600 24,636,100 23,632,600 23,968,300 23,734,000 23,428,100 22,954,400 23,004,500 23,166,100 23,129,900 22,594,000 22,245,800 22,052,800 21,730,400 20,666,700 20,736,600 20,519,600 20,435,000 20,401,600 20,809,700 20,494,500 20,570,300
Shareholders’ equity 4,400,900 4,130,100 4,051,200 4,156,100 3,751,800 3,503,700 3,715,800 3,780,000 3,631,100 3,166,800 3,102,100 2,597,800 2,224,600 2,234,300 2,437,200 2,690,300 2,840,400 3,078,700 3,610,800 4,207,300 3,869,900 3,289,100
Solvency Ratio
Financial leverage1 5.76 5.97 5.83 5.77 6.33 6.69 6.18 6.09 6.38 7.30 7.28 8.56 9.91 9.73 8.48 7.71 7.22 6.64 5.65 4.95 5.30 6.25
Benchmarks
Financial Leverage, Competitors2
Linde plc 2.23 2.17 2.10 2.11 2.10 2.07 2.03 2.00 1.97 2.01 1.99 1.98 1.96 1.93 1.85 1.90 1.84 1.84 1.86 1.89 1.89 1.88

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Financial leverage = Total assets ÷ Shareholders’ equity
= 25,363,600 ÷ 4,400,900 = 5.76

2 Click competitor name to see calculations.


The analysis of the quarterly financial data reveals several notable trends in the company's assets, equity, and financial leverage over the observed periods.

Total assets

Total assets remained relatively stable from the first quarter of 2020 through the end of 2021, fluctuating modestly within a range close to 20.4 billion US dollars. Beginning in early 2022, a steady upward trend emerged, with total assets increasing from approximately 21.7 billion US dollars to peak around 25.4 billion by the second quarter of 2025. This growth suggests ongoing asset acquisitions or asset value improvements that bolster the company's asset base over the medium term.

Shareholders’ equity

Shareholders’ equity demonstrated significant volatility throughout the periods under review. Initially, there was an increase from approximately 3.3 billion in early 2020 to over 4.2 billion by the third quarter of 2020, indicating potential retained earnings or capital injections. However, a noticeable decline followed from late 2020 through 2021, dropping to around 2.4 billion by the end of 2021. The subsequent quarters starting in 2022 reflected a general recovery trend, with equity gradually rising to a peak of about 4.4 billion by mid-2025. The fluctuations in equity suggest periods of earnings variability, dividend distribution, or changes in capital structure impacting the net asset value attributable to shareholders.

Financial leverage

The financial leverage ratio exhibited a pattern of initial decline from 6.25 in the first quarter of 2020 to a low of approximately 4.95 in the third quarter of 2020, implying reduced reliance on debt during this period. However, leverage increased sharply through 2021, reaching a high of 9.91 in the second quarter of 2022, indicating enhanced debt utilization relative to equity. Thereafter, the ratio steadily decreased to around 5.76 by the second quarter of 2025, aligning with the recovery in shareholders’ equity and sustained asset growth. This trajectory suggests a strategic effort to deleverage following a period of increased financial risk, resulting in a more balanced capital structure toward the end of the observed timeline.


Interest Coverage

Sherwin-Williams Co., interest coverage calculation (quarterly data)

Microsoft Excel
Jun 30, 2025 Mar 31, 2025 Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023 Dec 31, 2022 Sep 30, 2022 Jun 30, 2022 Mar 31, 2022 Dec 31, 2021 Sep 30, 2021 Jun 30, 2021 Mar 31, 2021 Dec 31, 2020 Sep 30, 2020 Jun 30, 2020 Mar 31, 2020
Selected Financial Data (US$ in thousands)
Net income 754,700 503,900 480,100 806,200 889,900 505,200 356,200 761,500 793,700 477,400 386,300 685,100 577,900 370,800 304,000 502,200 648,600 409,600 407,000 705,800 595,900 321,700
Add: Income tax expense 231,000 149,100 135,500 216,600 283,500 134,800 117,800 247,500 218,400 137,400 108,600 192,100 162,000 90,300 4,900 109,300 170,600 99,400 96,900 169,800 151,500 70,600
Add: Interest expense 112,400 103,800 98,500 103,400 110,800 103,000 94,600 101,900 111,700 109,300 108,300 101,200 92,900 88,400 84,900 83,100 83,500 83,200 82,800 83,300 88,100 86,200
Earnings before interest and tax (EBIT) 1,098,100 756,800 714,100 1,126,200 1,284,200 743,000 568,600 1,110,900 1,123,800 724,100 603,200 978,400 832,800 549,500 393,800 694,600 902,700 592,200 586,700 958,900 835,500 478,500
Solvency Ratio
Interest coverage1 8.84 9.32 9.30 9.04 9.03 8.62 8.45 8.26 7.97 7.62 7.58 7.50 7.07 7.47 7.72 8.35 9.14 8.81 8.40

Based on: 10-Q (reporting date: 2025-06-30), 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).

1 Q2 2025 Calculation
Interest coverage = (EBITQ2 2025 + EBITQ1 2025 + EBITQ4 2024 + EBITQ3 2024) ÷ (Interest expenseQ2 2025 + Interest expenseQ1 2025 + Interest expenseQ4 2024 + Interest expenseQ3 2024)
= (1,098,100 + 756,800 + 714,100 + 1,126,200) ÷ (112,400 + 103,800 + 98,500 + 103,400) = 8.84


The analysis of the quarterly financial data reveals notable fluctuations and trends in key financial metrics over the observed periods.

Earnings Before Interest and Tax (EBIT)
The EBIT values exhibit significant variability across quarters, with observable cyclical patterns. The initial period starts at 478.5 million US dollars and rapidly increases to a peak of 958.9 million in September 2020 before declining sharply at year-end 2020 to 586.7 million. In 2021, EBIT fluctuates again, peaking at 902.7 million in mid-year and falling to 393.8 million by the end of the year. A recovery phase is seen in 2022, where the EBIT rises again, reaching highs above 970 million, followed by another dip in December 2022. The trend continues into 2023 and 2024 with similar patterns of rise and fall, peaking notably at 1,128.2 million in mid-2024 before declining in the final recorded quarters. This pattern suggests a seasonal or market-driven volatility in earnings performance.
Interest Expense
The interest expense exhibits a steady and gradual upward trend over the periods analyzed. Starting at 86.2 million US dollars in the first quarter of 2020, it rises consistently, reaching 112.4 million by the fourth quarter of 2025. The increase appears relatively smooth without abrupt fluctuations, indicating potentially rising debt levels or increasing costs of borrowing over time.
Interest Coverage Ratio
The interest coverage ratio, available from the third quarter of 2020 onward, presents a generally stable and slightly increasing trend. Starting at around 8.4, it fluctuates modestly but maintains a range between approximately 7.0 and 9.3. The ratio improves especially in the latter quarters of the data, reflecting an enhanced ability to cover interest expenses from earnings. Even during periods when EBIT declined, the coverage ratio remained above 7, indicating a healthy margin to meet interest obligations.

In summary, the data indicates cyclical EBIT performance with peaks and troughs likely tied to seasonal factors or market conditions. Interest expenses steadily increase, possibly reflecting growing debt commitments or higher interest rates. Despite these pressures, the interest coverage ratio remains robust, reflecting continued solid financial health and ability to manage debt service costs effectively across the time frame.