Analysis of Debt
Total Debt (Carrying Amount)
Union Pacific Corp., balance sheet: debt
US$ in millions
Based on: 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), 10-K (reporting date: 2020-12-31).
- Debt due within one year
- The short-term debt exhibited a significant increase from 1,069 million USD at the end of 2020 to 2,166 million USD at the end of 2021, nearly doubling in one year. Following this peak, it decreased to 1,678 million USD in 2022 and further declined to levels around 1,423-1,425 million USD in 2023 and 2024, respectively. Overall, the short-term debt shows volatility with a pronounced spike in 2021 and a subsequent normalization.
- Debt due after one year
- The long-term debt showed a steady growth trend from 25,660 million USD at the end of 2020 to a peak of 31,648 million USD in 2022. After reaching this high, the long-term debt slightly contracted to 31,156 million USD in 2023 and further to 29,767 million USD in 2024. Despite the decline in the last two years, the long-term debt remains substantially higher than the 2020 level, indicating sustained elevated borrowing over the period.
- Total debt (carrying amount)
- The total debt, combining both short-term and long-term obligations, increased from 26,729 million USD in 2020 to a peak of 33,326 million USD in 2022. Following this, total debt contracted to 32,579 million USD in 2023 and further to 31,192 million USD in 2024. The trend indicates an overall increase in debt levels over the five-year period, with a peak in 2022 followed by a moderate reduction.
- Summary insights
- The data reflects a period of increasing leverage up to 2022, marked by growth predominantly in long-term debt. The considerable short-term debt jump in 2021 may suggest temporary financing needs or refinancing activities during that year. Post-2022, there is a slight deleveraging trend, but the debt levels remain above early period values, which may have implications for financial risk and cash flow management.
Total Debt (Fair Value)
| Dec 31, 2024 | |
|---|---|
| Selected Financial Data (US$ in millions) | |
| Total debt (fair value) | 25,300) |
| Financial Ratio | |
| Debt, fair value to carrying amount ratio | 0.81 |
Based on: 10-K (reporting date: 2024-12-31).
Weighted-average Interest Rate on Debt
Weighted-average interest rate on debt: 7.07%
| Interest rate | Debt amount1 | Interest rate × Debt amount | Weighted-average interest rate2 |
|---|---|---|---|
| 7.10% | 32,044) | 2,275) | |
| 6.20% | 732) | 45) | |
| 4.40% | 109) | 5) | |
| Total | 32,885) | 2,325) | |
| 7.07% | |||
Based on: 10-K (reporting date: 2024-12-31).
1 US$ in millions
2 Weighted-average interest rate = 100 × 2,325 ÷ 32,885 = 7.07%