Analysis of Debt
Total Debt (Carrying Amount)
Stryker Corp., balance sheet: debt
US$ in millions
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).
The analyzed debt data reveals several key trends over the five-year period ending in 2021. The current maturities of debt experienced substantial fluctuation, starting at 632 million US dollars in 2017, peaking sharply at 1,373 million in 2018, then declining progressively in the following years to a minimal level of 7 million by the end of 2021. This indicates a significant reduction in short-term debt obligations due within one year as of the latest period.
Long-term debt, excluding current maturities, exhibited consistent growth from 2017 through 2020. It increased from 6,590 million US dollars in 2017 to a high of 13,230 million in 2020. However, in 2021, a slight decrease occurred, bringing long-term debt down to 12,472 million. This pattern suggests an expansion in long-term borrowing until 2020, followed by a modest deleveraging or repayment phase in 2021.
Total debt, which combines both current maturities and long-term debt, mirrored the upward trend observed in long-term debt until 2020, rising from 7,222 million in 2017 to a peak of 13,991 million in 2020. Subsequently, total debt declined to 12,479 million in 2021. The dip in total debt at the end of the period aligns with reductions seen in both current maturities and long-term debt, indicating an overall decrease in the company’s debt burden in the latest year examined.
In summary, the data depicts a shift from a rising debt profile over the first four years towards debt reduction in the final year. The marked drop in current maturities by 2021 suggests improved short-term liquidity or restructuring of debt obligations, while the slight decrease in long-term debt indicates some level of repayment or refinancing. This overall reduction in total debt may reflect strategic efforts to strengthen the balance sheet or respond to changing capital requirements or market conditions.
Total Debt (Fair Value)
| Dec 31, 2021 | |
|---|---|
| Selected Financial Data (US$ in millions) | |
| Senior unsecured notes | 13,391) |
| Term loan | —) |
| Other | 10) |
| Total debt (fair value) | 13,401) |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | 1.07 |
Based on: 10-K (reporting date: 2021-12-31).
Weighted-average Interest Rate on Debt
Weighted-average interest rate on debt: 2.33%
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| 1.13% | 622) | 7) | |
| 0.60% | 598) | 4) | |
| 3.38% | 593) | 20) | |
| 0.25% | 958) | 2) | |
| 1.15% | 645) | 7) | |
| 3.38% | 748) | 25) | |
| 3.50% | 994) | 35) | |
| 2.13% | 845) | 18) | |
| 3.65% | 597) | 22) | |
| 0.75% | 901) | 7) | |
| 1.95% | 990) | 19) | |
| 2.63% | 727) | 19) | |
| 1.00% | 840) | 8) | |
| 4.10% | 392) | 16) | |
| 4.38% | 395) | 17) | |
| 4.63% | 982) | 45) | |
| 2.90% | 642) | 19) | |
| Total | 12,469) | 291) | |
| 2.33% | |||
Based on: 10-K (reporting date: 2021-12-31).
1 US$ in millions
2 Weighted-average interest rate = 100 × 291 ÷ 12,469 = 2.33%