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Trane Technologies plc (NYSE:TT)

This company has been moved to the archive! The financial data has not been updated since May 3, 2023.

Debt to Equity
since 2005

Microsoft Excel

Calculation

Trane Technologies plc, debt to equity, long-term trends, calculation

Microsoft Excel
Debt to equity = Short-term borrowings and long-term debt1 ÷ Total Trane Technologies plc shareholders’ equity1
Dec 31, 2022 0.79 = 4,836,300 ÷ 6,088,600
Dec 31, 2021 0.77 = 4,842,100 ÷ 6,255,900
Dec 31, 2020 0.82 = 5,272,100 ÷ 6,407,700
Dec 31, 2019 0.77 = 5,573,400 ÷ 7,267,600
Dec 31, 2018 0.58 = 4,091,300 ÷ 7,022,700
Dec 31, 2017 0.57 = 4,064,000 ÷ 7,140,300
Dec 31, 2016 0.61 = 4,070,200 ÷ 6,643,800
Dec 31, 2015 0.73 = 4,239,000 ÷ 5,816,700
Dec 31, 2014 0.71 = 4,224,400 ÷ 5,987,400
Dec 31, 2013 0.50 = 3,521,200 ÷ 7,068,900
Dec 31, 2012 0.45 = 3,233,000 ÷ 7,147,800
Dec 31, 2011 0.53 = 3,642,600 ÷ 6,924,300
Dec 31, 2010 0.46 = 3,683,900 ÷ 7,964,300
Dec 31, 2009 0.58 = 4,096,600 ÷ 7,101,800
Dec 31, 2008 0.77 = 5,124,100 ÷ 6,661,400
Dec 31, 2007 0.18 = 1,453,700 ÷ 7,907,900
Dec 31, 2006 0.37 = 1,984,600 ÷ 5,404,800
Dec 31, 2005 0.37 = 2,117,000 ÷ 5,762,000

Based on: 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), 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), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$ in thousands

The leverage profile exhibits distinct phases of volatility and stabilization, characterized by a general upward shift in the debt-to-equity ratio over the seventeen-year period. While the capital structure was conservatively managed in the mid-2000s, subsequent cycles indicate an increased reliance on borrowed capital relative to shareholders' equity.

Early Leverage Volatility (2005–2008)
A period of significant fluctuation is observed in the early years. The debt-to-equity ratio declined from 0.37 in 2005 to a period low of 0.18 in 2007. This was followed by a sharp inflection point in 2008, where short-term borrowings and long-term debt surged from $1.45 billion to $5.12 billion, resulting in the ratio spiking to 0.77.
Mid-Term Stabilization and Fluctuations (2009–2017)
Following the 2008 peak, the leverage ratio experienced a period of moderation, fluctuating between 0.45 and 0.58 from 2009 through 2013. A secondary increase occurred in 2014 and 2015, with the ratio rising to 0.71 and 0.73 respectively, driven by debt levels exceeding $4.2 billion. The ratio subsequently normalized to between 0.57 and 0.61 from 2016 to 2018.
Recent Capital Structure Trends (2019–2022)
The most recent data indicates a trend toward higher sustained leverage. The debt-to-equity ratio peaked at 0.82 in 2020 and remained elevated at 0.79 by the end of 2022. This trend is attributed to a combination of total debt remaining near $4.8 billion and a gradual contraction in total shareholders' equity, which declined from $7.27 billion in 2018 to $6.09 billion in 2022.

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Comparison to Competitors

Trane Technologies plc, debt to equity, long-term trends, comparison to competitors

Microsoft Excel
Trane Technologies plc Boeing Co. Caterpillar Inc. Eaton Corp. plc GE Aerospace Honeywell International Inc. Lockheed Martin Corp. RTX Corp.
Dec 31, 2022 0.79 — 2.33 0.51 0.89 1.17 1.68 0.44
Dec 31, 2021 0.77 — 2.29 0.52 0.87 1.06 1.07 0.43
Dec 31, 2020 0.82 — 2.42 0.54 2.11 1.28 2.02 0.44
Dec 31, 2019 0.77 — 2.58 0.52 3.21 0.87 4.05 1.04
Dec 31, 2018 0.58 40.85 2.60 0.47 3.55 0.89 9.04 1.18
Dec 31, 2017 0.57 31.32 2.55 0.45 2.09 1.04 — 0.93
Dec 31, 2016 0.61 12.18 2.80 0.56 1.80 0.81 9.45 0.87
Dec 31, 2015 0.73 1.57 2.57 0.56 2.02 0.66 4.62 0.75
Dec 31, 2014 0.71 1.05 2.35 0.57 2.85 0.49 1.81 0.63
Dec 31, 2013 0.50 0.65 1.81 0.57 2.93 0.51 1.25 0.64
Dec 31, 2012 0.45 1.77 2.29 0.72 3.37 0.58 157.90 0.90
Dec 31, 2011 0.53 3.52 2.69 0.51 3.89 0.70 6.45 0.47
Dec 31, 2010 0.46 4.49 2.63 0.47 4.02 0.62 1.35 0.48
Dec 31, 2009 0.58 6.07 3.62 0.51 4.35 0.86 1.22 0.49
Dec 31, 2008 0.77 — 5.84 0.68 5.00 1.17 1.24 0.72
Dec 31, 2007 0.18 0.91 3.20 0.66 4.45 0.83 0.44 0.43
Dec 31, 2006 0.37 2.01 3.98 0.63 3.85 0.52 0.64 0.46
Dec 31, 2005 0.37 0.97 3.05 0.65 3.39 0.45 0.61 0.48

Based on: 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), 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), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

Comparison to Sector (Capital Goods)

Trane Technologies plc, debt to equity, long-term trends, comparison to sector (capital goods)

Microsoft Excel
Trane Technologies plc Capital Goods
Dec 31, 2022 0.79 1.33
Dec 31, 2021 0.77 1.26
Dec 31, 2020 0.82 1.75
Dec 31, 2019 0.77 2.08
Dec 31, 2018 0.58 2.03
Dec 31, 2017 0.57 1.74
Dec 31, 2016 0.61 1.60
Dec 31, 2015 0.73 1.64
Dec 31, 2014 0.71 2.06
Dec 31, 2013 0.50 2.00
Dec 31, 2012 0.45 2.56
Dec 31, 2011 0.53 3.04
Dec 31, 2010 0.46 3.10
Dec 31, 2009 0.58 3.46
Dec 31, 2008 0.77 4.19
Dec 31, 2007 0.18 3.21
Dec 31, 2006 0.37 3.02
Dec 31, 2005 0.37 2.53

Based on: 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), 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), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

Comparison to Industry (Industrials)

Trane Technologies plc, debt to equity, long-term trends, comparison to industry (industrials)

Microsoft Excel
Trane Technologies plc Industrials
Dec 31, 2022 0.79 1.42
Dec 31, 2021 0.77 1.37
Dec 31, 2020 0.82 1.82
Dec 31, 2019 0.77 1.82
Dec 31, 2018 0.58 1.85
Dec 31, 2017 0.57 1.65
Dec 31, 2016 0.61 1.54
Dec 31, 2015 0.73 1.51
Dec 31, 2014 0.71 1.89
Dec 31, 2013 0.50 1.79
Dec 31, 2012 0.45 2.29
Dec 31, 2011 0.53 2.60
Dec 31, 2010 0.46 2.68
Dec 31, 2009 0.58 3.01
Dec 31, 2008 0.77 3.54
Dec 31, 2007 0.18 2.73
Dec 31, 2006 0.37 2.49
Dec 31, 2005 0.37 2.42

Based on: 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), 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), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).