Analysis of Solvency Ratios
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Valero Energy Corp., solvency ratios
Based on: 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), 10-K (reporting date: 2019-12-31).
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Valero Energy Corp. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Valero Energy Corp. debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Valero Energy Corp. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Valero Energy Corp. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Valero Energy Corp. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Valero Energy Corp. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Valero Energy Corp. financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Valero Energy Corp. interest coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Valero Energy Corp. fixed charge coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
Debt to Equity
Valero Energy Corp., debt to equity calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt and finance lease obligations | 1,406) | 1,109) | 1,264) | 723) | 494) | |
| Debt and finance lease obligations, less current portion | 10,118) | 10,526) | 12,606) | 13,954) | 9,178) | |
| Total debt | 11,524) | 11,635) | 13,870) | 14,677) | 9,672) | |
| Total Valero Energy Corporation stockholders’ equity | 26,346) | 23,561) | 18,430) | 18,801) | 21,803) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 0.44 | 0.49 | 0.75 | 0.78 | 0.44 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Chevron Corp. | 0.13 | 0.15 | 0.23 | 0.34 | 0.19 | |
| ConocoPhillips | 0.38 | 0.35 | 0.44 | 0.51 | 0.43 | |
| Exxon Mobil Corp. | 0.20 | 0.21 | 0.28 | 0.43 | 0.24 | |
| Marathon Petroleum Corp. | 1.12 | 0.96 | 0.97 | 1.42 | 0.86 | |
| Occidental Petroleum Corp. | 0.65 | 0.66 | 1.46 | 1.95 | 1.13 | |
| Debt to Equity, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.28 | 0.29 | 0.40 | 0.55 | 0.36 | |
| Debt to Equity, Industry | ||||||
| Energy | 0.29 | 0.30 | 0.42 | 0.58 | 0.37 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to equity = Total debt ÷ Total Valero Energy Corporation stockholders’ equity
= 11,524 ÷ 26,346 = 0.44
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio | A solvency ratio calculated as total debt divided by total shareholders’ equity. | Valero Energy Corp. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Equity (including Operating Lease Liability)
Valero Energy Corp., debt to equity (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt and finance lease obligations | 1,406) | 1,109) | 1,264) | 723) | 494) | |
| Debt and finance lease obligations, less current portion | 10,118) | 10,526) | 12,606) | 13,954) | 9,178) | |
| Total debt | 11,524) | 11,635) | 13,870) | 14,677) | 9,672) | |
| Current operating lease liabilities | 360) | 311) | 315) | 285) | 331) | |
| Noncurrent operating lease liabilities | 753) | 776) | 940) | 885) | 959) | |
| Total debt (including operating lease liability) | 12,637) | 12,722) | 15,125) | 15,847) | 10,962) | |
| Total Valero Energy Corporation stockholders’ equity | 26,346) | 23,561) | 18,430) | 18,801) | 21,803) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 0.48 | 0.54 | 0.82 | 0.84 | 0.50 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.16 | 0.17 | 0.25 | 0.37 | 0.21 | |
| ConocoPhillips | 0.40 | 0.36 | 0.45 | 0.54 | 0.45 | |
| Exxon Mobil Corp. | 0.23 | 0.24 | 0.31 | 0.46 | 0.27 | |
| Marathon Petroleum Corp. | 1.17 | 1.01 | 1.03 | 1.49 | 0.93 | |
| Occidental Petroleum Corp. | 0.69 | 0.69 | 1.49 | 2.01 | 1.17 | |
| Debt to Equity (including Operating Lease Liability), Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.31 | 0.32 | 0.43 | 0.59 | 0.39 | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Energy | 0.33 | 0.33 | 0.45 | 0.62 | 0.41 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Total Valero Energy Corporation stockholders’ equity
= 12,637 ÷ 26,346 = 0.48
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to equity ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. | Valero Energy Corp. debt to equity ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital
Valero Energy Corp., debt to capital calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt and finance lease obligations | 1,406) | 1,109) | 1,264) | 723) | 494) | |
| Debt and finance lease obligations, less current portion | 10,118) | 10,526) | 12,606) | 13,954) | 9,178) | |
| Total debt | 11,524) | 11,635) | 13,870) | 14,677) | 9,672) | |
| Total Valero Energy Corporation stockholders’ equity | 26,346) | 23,561) | 18,430) | 18,801) | 21,803) | |
| Total capital | 37,870) | 35,196) | 32,300) | 33,478) | 31,475) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.30 | 0.33 | 0.43 | 0.44 | 0.31 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Chevron Corp. | 0.11 | 0.13 | 0.18 | 0.25 | 0.16 | |
| ConocoPhillips | 0.28 | 0.26 | 0.31 | 0.34 | 0.30 | |
| Exxon Mobil Corp. | 0.17 | 0.17 | 0.22 | 0.30 | 0.20 | |
| Marathon Petroleum Corp. | 0.53 | 0.49 | 0.49 | 0.59 | 0.46 | |
| Occidental Petroleum Corp. | 0.39 | 0.40 | 0.59 | 0.66 | 0.53 | |
| Debt to Capital, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.22 | 0.22 | 0.29 | 0.36 | 0.26 | |
| Debt to Capital, Industry | ||||||
| Energy | 0.23 | 0.23 | 0.30 | 0.37 | 0.27 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 11,524 ÷ 37,870 = 0.30
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio | A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. | Valero Energy Corp. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital (including Operating Lease Liability)
Valero Energy Corp., debt to capital (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt and finance lease obligations | 1,406) | 1,109) | 1,264) | 723) | 494) | |
| Debt and finance lease obligations, less current portion | 10,118) | 10,526) | 12,606) | 13,954) | 9,178) | |
| Total debt | 11,524) | 11,635) | 13,870) | 14,677) | 9,672) | |
| Current operating lease liabilities | 360) | 311) | 315) | 285) | 331) | |
| Noncurrent operating lease liabilities | 753) | 776) | 940) | 885) | 959) | |
| Total debt (including operating lease liability) | 12,637) | 12,722) | 15,125) | 15,847) | 10,962) | |
| Total Valero Energy Corporation stockholders’ equity | 26,346) | 23,561) | 18,430) | 18,801) | 21,803) | |
| Total capital (including operating lease liability) | 38,983) | 36,283) | 33,555) | 34,648) | 32,765) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.32 | 0.35 | 0.45 | 0.46 | 0.33 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.14 | 0.15 | 0.20 | 0.27 | 0.18 | |
| ConocoPhillips | 0.28 | 0.26 | 0.31 | 0.35 | 0.31 | |
| Exxon Mobil Corp. | 0.19 | 0.19 | 0.24 | 0.32 | 0.22 | |
| Marathon Petroleum Corp. | 0.54 | 0.50 | 0.51 | 0.60 | 0.48 | |
| Occidental Petroleum Corp. | 0.41 | 0.41 | 0.60 | 0.67 | 0.54 | |
| Debt to Capital (including Operating Lease Liability), Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.24 | 0.24 | 0.30 | 0.37 | 0.28 | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Energy | 0.25 | 0.25 | 0.31 | 0.38 | 0.29 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 12,637 ÷ 38,983 = 0.32
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to capital ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. | Valero Energy Corp. debt to capital ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets
Valero Energy Corp., debt to assets calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt and finance lease obligations | 1,406) | 1,109) | 1,264) | 723) | 494) | |
| Debt and finance lease obligations, less current portion | 10,118) | 10,526) | 12,606) | 13,954) | 9,178) | |
| Total debt | 11,524) | 11,635) | 13,870) | 14,677) | 9,672) | |
| Total assets | 63,056) | 60,982) | 57,888) | 51,774) | 53,864) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.18 | 0.19 | 0.24 | 0.28 | 0.18 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Chevron Corp. | 0.08 | 0.09 | 0.13 | 0.18 | 0.11 | |
| ConocoPhillips | 0.20 | 0.18 | 0.22 | 0.25 | 0.21 | |
| Exxon Mobil Corp. | 0.11 | 0.11 | 0.14 | 0.20 | 0.13 | |
| Marathon Petroleum Corp. | 0.32 | 0.30 | 0.30 | 0.37 | 0.29 | |
| Occidental Petroleum Corp. | 0.27 | 0.27 | 0.39 | 0.45 | 0.35 | |
| Debt to Assets, Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.15 | 0.15 | 0.19 | 0.25 | 0.18 | |
| Debt to Assets, Industry | ||||||
| Energy | 0.15 | 0.15 | 0.20 | 0.25 | 0.18 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 11,524 ÷ 63,056 = 0.18
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Valero Energy Corp. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets (including Operating Lease Liability)
Valero Energy Corp., debt to assets (including operating lease liability) calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Current portion of debt and finance lease obligations | 1,406) | 1,109) | 1,264) | 723) | 494) | |
| Debt and finance lease obligations, less current portion | 10,118) | 10,526) | 12,606) | 13,954) | 9,178) | |
| Total debt | 11,524) | 11,635) | 13,870) | 14,677) | 9,672) | |
| Current operating lease liabilities | 360) | 311) | 315) | 285) | 331) | |
| Noncurrent operating lease liabilities | 753) | 776) | 940) | 885) | 959) | |
| Total debt (including operating lease liability) | 12,637) | 12,722) | 15,125) | 15,847) | 10,962) | |
| Total assets | 63,056) | 60,982) | 57,888) | 51,774) | 53,864) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.20 | 0.21 | 0.26 | 0.31 | 0.20 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Chevron Corp. | 0.10 | 0.11 | 0.15 | 0.20 | 0.13 | |
| ConocoPhillips | 0.20 | 0.18 | 0.23 | 0.26 | 0.22 | |
| Exxon Mobil Corp. | 0.13 | 0.13 | 0.16 | 0.22 | 0.15 | |
| Marathon Petroleum Corp. | 0.33 | 0.31 | 0.32 | 0.39 | 0.32 | |
| Occidental Petroleum Corp. | 0.28 | 0.29 | 0.40 | 0.47 | 0.37 | |
| Debt to Assets (including Operating Lease Liability), Sector | ||||||
| Oil, Gas & Consumable Fuels | 0.16 | 0.16 | 0.20 | 0.26 | 0.19 | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Energy | 0.17 | 0.17 | 0.21 | 0.27 | 0.20 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 12,637 ÷ 63,056 = 0.20
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Debt to assets ratio (including operating lease liability) | A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. | Valero Energy Corp. debt to assets ratio (including operating lease liability) improved from 2021 to 2022 and from 2022 to 2023. |
Financial Leverage
Valero Energy Corp., financial leverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Total assets | 63,056) | 60,982) | 57,888) | 51,774) | 53,864) | |
| Total Valero Energy Corporation stockholders’ equity | 26,346) | 23,561) | 18,430) | 18,801) | 21,803) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 2.39 | 2.59 | 3.14 | 2.75 | 2.47 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Chevron Corp. | 1.63 | 1.62 | 1.72 | 1.82 | 1.65 | |
| ConocoPhillips | 1.95 | 1.95 | 2.00 | 2.10 | 2.02 | |
| Exxon Mobil Corp. | 1.84 | 1.89 | 2.01 | 2.12 | 1.89 | |
| Marathon Petroleum Corp. | 3.52 | 3.24 | 3.26 | 3.84 | 2.93 | |
| Occidental Petroleum Corp. | 2.45 | 2.41 | 3.69 | 4.31 | 3.19 | |
| Financial Leverage, Sector | ||||||
| Oil, Gas & Consumable Fuels | 1.93 | 1.95 | 2.12 | 2.25 | 2.02 | |
| Financial Leverage, Industry | ||||||
| Energy | 1.95 | 1.97 | 2.15 | 2.29 | 2.04 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Financial leverage = Total assets ÷ Total Valero Energy Corporation stockholders’ equity
= 63,056 ÷ 26,346 = 2.39
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Valero Energy Corp. financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023. |
Interest Coverage
Valero Energy Corp., interest coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income (loss) attributable to Valero Energy Corporation stockholders | 8,835) | 11,528) | 930) | (1,421) | 2,422) | |
| Add: Net income attributable to noncontrolling interest | 314) | 351) | 358) | 314) | 362) | |
| Add: Income tax expense | 2,619) | 3,428) | 255) | (903) | 702) | |
| Add: Interest and debt expense, net of capitalized interest | 592) | 562) | 603) | 563) | 454) | |
| Earnings before interest and tax (EBIT) | 12,360) | 15,869) | 2,146) | (1,447) | 3,940) | |
| Solvency Ratio | ||||||
| Interest coverage1 | 20.88 | 28.24 | 3.56 | -2.57 | 8.68 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Chevron Corp. | 64.08 | 97.27 | 31.39 | -9.69 | 7.94 | |
| ConocoPhillips | 21.88 | 36.07 | 15.38 | -2.90 | 13.24 | |
| Exxon Mobil Corp. | 63.17 | 98.43 | 33.98 | -23.94 | 25.16 | |
| Marathon Petroleum Corp. | 12.06 | 18.13 | 3.22 | -9.21 | 4.50 | |
| Occidental Petroleum Corp. | 7.80 | 14.71 | 3.30 | -10.03 | 1.17 | |
| Interest Coverage, Sector | ||||||
| Oil, Gas & Consumable Fuels | 27.70 | 42.90 | 13.22 | -10.84 | 9.35 | |
| Interest Coverage, Industry | ||||||
| Energy | 26.19 | 39.88 | 12.58 | -11.55 | 6.66 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 12,360 ÷ 592 = 20.88
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Valero Energy Corp. interest coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |
Fixed Charge Coverage
Valero Energy Corp., fixed charge coverage calculation, comparison to benchmarks
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income (loss) attributable to Valero Energy Corporation stockholders | 8,835) | 11,528) | 930) | (1,421) | 2,422) | |
| Add: Net income attributable to noncontrolling interest | 314) | 351) | 358) | 314) | 362) | |
| Add: Income tax expense | 2,619) | 3,428) | 255) | (903) | 702) | |
| Add: Interest and debt expense, net of capitalized interest | 592) | 562) | 603) | 563) | 454) | |
| Earnings before interest and tax (EBIT) | 12,360) | 15,869) | 2,146) | (1,447) | 3,940) | |
| Add: Operating lease cost | 418) | 379) | 381) | 434) | 439) | |
| Earnings before fixed charges and tax | 12,778) | 16,248) | 2,527) | (1,013) | 4,379) | |
| Interest and debt expense, net of capitalized interest | 592) | 562) | 603) | 563) | 454) | |
| Operating lease cost | 418) | 379) | 381) | 434) | 439) | |
| Fixed charges | 1,010) | 941) | 984) | 997) | 893) | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | 12.65 | 17.27 | 2.57 | -1.02 | 4.90 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Chevron Corp. | 9.57 | 18.28 | 8.43 | -1.29 | 2.62 | |
| ConocoPhillips | 17.14 | 28.76 | 11.94 | -1.79 | 9.51 | |
| Exxon Mobil Corp. | 13.03 | 20.62 | 9.13 | -5.68 | 5.66 | |
| Marathon Petroleum Corp. | 8.98 | 13.15 | 2.52 | -5.84 | 3.13 | |
| Occidental Petroleum Corp. | 3.09 | 6.42 | 1.78 | -4.00 | 0.91 | |
| Fixed Charge Coverage, Sector | ||||||
| Oil, Gas & Consumable Fuels | 10.18 | 16.86 | 6.12 | -3.78 | 4.01 | |
| Fixed Charge Coverage, Industry | ||||||
| Energy | 9.42 | 15.31 | 5.71 | -3.89 | 2.96 | |
Based on: 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), 10-K (reporting date: 2019-12-31).
1 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 12,778 ÷ 1,010 = 12.65
2 Click competitor name to see calculations.
| Solvency ratio | Description | The company |
|---|---|---|
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Valero Energy Corp. fixed charge coverage ratio improved from 2021 to 2022 but then slightly deteriorated from 2022 to 2023. |