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)
Newmont 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. | Newmont Corp. debt to equity ratio deteriorated 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. | Newmont Corp. debt to equity ratio (including operating lease liability) deteriorated 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. | Newmont Corp. debt to capital ratio deteriorated 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. | Newmont Corp. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Debt to assets ratio | A solvency ratio calculated as total debt divided by total assets. | Newmont Corp. debt to assets ratio deteriorated 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. | Newmont Corp. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Financial leverage ratio | A solvency ratio calculated as total assets divided by total shareholders’ equity. | Newmont Corp. financial leverage ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level. |
| Solvency ratio | Description | The company |
|---|---|---|
| Interest coverage ratio | A solvency ratio calculated as EBIT divided by interest payments. | Newmont Corp. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
| Fixed charge coverage ratio | A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. | Newmont Corp. fixed charge coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Equity
Newmont 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 finance lease and other financing obligations | 114) | 96) | 106) | 106) | 100) | |
| Current debt | 1,923) | —) | 87) | 551) | —) | |
| Non-current debt | 6,951) | 5,571) | 5,565) | 5,480) | 6,138) | |
| Non-current finance lease and other financing obligations | 448) | 465) | 544) | 565) | 596) | |
| Total debt | 9,436) | 6,132) | 6,302) | 6,702) | 6,834) | |
| Total Newmont stockholders’ equity | 29,027) | 19,354) | 22,022) | 23,008) | 21,420) | |
| Solvency Ratio | ||||||
| Debt to equity1 | 0.33 | 0.32 | 0.29 | 0.29 | 0.32 | |
| Benchmarks | ||||||
| Debt to Equity, Competitors2 | ||||||
| Freeport-McMoRan Inc. | 0.56 | 0.68 | 0.68 | 0.95 | 1.06 | |
| Debt to Equity, Industry | ||||||
| Materials | 0.65 | 0.67 | 0.55 | 0.56 | — | |
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 Newmont stockholders’ equity
= 9,436 ÷ 29,027 = 0.33
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. | Newmont Corp. debt to equity ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Equity (including Operating Lease Liability)
Newmont 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 finance lease and other financing obligations | 114) | 96) | 106) | 106) | 100) | |
| Current debt | 1,923) | —) | 87) | 551) | —) | |
| Non-current debt | 6,951) | 5,571) | 5,565) | 5,480) | 6,138) | |
| Non-current finance lease and other financing obligations | 448) | 465) | 544) | 565) | 596) | |
| Total debt | 9,436) | 6,132) | 6,302) | 6,702) | 6,834) | |
| Current operating lease obligations | 24) | 26) | 27) | 17) | 28) | |
| Non-current operating lease obligations | 81) | 90) | 101) | 91) | 47) | |
| Total debt (including operating lease liability) | 9,541) | 6,248) | 6,430) | 6,810) | 6,909) | |
| Total Newmont stockholders’ equity | 29,027) | 19,354) | 22,022) | 23,008) | 21,420) | |
| Solvency Ratio | ||||||
| Debt to equity (including operating lease liability)1 | 0.33 | 0.32 | 0.29 | 0.30 | 0.32 | |
| Benchmarks | ||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||
| Freeport-McMoRan Inc. | 0.59 | 0.70 | 0.70 | 0.98 | 1.08 | |
| Debt to Equity (including Operating Lease Liability), Industry | ||||||
| Materials | 0.70 | 0.72 | 0.60 | 0.61 | — | |
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 Newmont stockholders’ equity
= 9,541 ÷ 29,027 = 0.33
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. | Newmont Corp. debt to equity ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital
Newmont 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 finance lease and other financing obligations | 114) | 96) | 106) | 106) | 100) | |
| Current debt | 1,923) | —) | 87) | 551) | —) | |
| Non-current debt | 6,951) | 5,571) | 5,565) | 5,480) | 6,138) | |
| Non-current finance lease and other financing obligations | 448) | 465) | 544) | 565) | 596) | |
| Total debt | 9,436) | 6,132) | 6,302) | 6,702) | 6,834) | |
| Total Newmont stockholders’ equity | 29,027) | 19,354) | 22,022) | 23,008) | 21,420) | |
| Total capital | 38,463) | 25,486) | 28,324) | 29,710) | 28,254) | |
| Solvency Ratio | ||||||
| Debt to capital1 | 0.25 | 0.24 | 0.22 | 0.23 | 0.24 | |
| Benchmarks | ||||||
| Debt to Capital, Competitors2 | ||||||
| Freeport-McMoRan Inc. | 0.36 | 0.41 | 0.40 | 0.49 | 0.51 | |
| Debt to Capital, Industry | ||||||
| Materials | 0.39 | 0.40 | 0.36 | 0.36 | — | |
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
= 9,436 ÷ 38,463 = 0.25
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. | Newmont Corp. debt to capital ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Capital (including Operating Lease Liability)
Newmont 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 finance lease and other financing obligations | 114) | 96) | 106) | 106) | 100) | |
| Current debt | 1,923) | —) | 87) | 551) | —) | |
| Non-current debt | 6,951) | 5,571) | 5,565) | 5,480) | 6,138) | |
| Non-current finance lease and other financing obligations | 448) | 465) | 544) | 565) | 596) | |
| Total debt | 9,436) | 6,132) | 6,302) | 6,702) | 6,834) | |
| Current operating lease obligations | 24) | 26) | 27) | 17) | 28) | |
| Non-current operating lease obligations | 81) | 90) | 101) | 91) | 47) | |
| Total debt (including operating lease liability) | 9,541) | 6,248) | 6,430) | 6,810) | 6,909) | |
| Total Newmont stockholders’ equity | 29,027) | 19,354) | 22,022) | 23,008) | 21,420) | |
| Total capital (including operating lease liability) | 38,568) | 25,602) | 28,452) | 29,818) | 28,329) | |
| Solvency Ratio | ||||||
| Debt to capital (including operating lease liability)1 | 0.25 | 0.24 | 0.23 | 0.23 | 0.24 | |
| Benchmarks | ||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||
| Freeport-McMoRan Inc. | 0.37 | 0.41 | 0.41 | 0.49 | 0.52 | |
| Debt to Capital (including Operating Lease Liability), Industry | ||||||
| Materials | 0.41 | 0.42 | 0.38 | 0.38 | — | |
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)
= 9,541 ÷ 38,568 = 0.25
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. | Newmont Corp. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets
Newmont 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 finance lease and other financing obligations | 114) | 96) | 106) | 106) | 100) | |
| Current debt | 1,923) | —) | 87) | 551) | —) | |
| Non-current debt | 6,951) | 5,571) | 5,565) | 5,480) | 6,138) | |
| Non-current finance lease and other financing obligations | 448) | 465) | 544) | 565) | 596) | |
| Total debt | 9,436) | 6,132) | 6,302) | 6,702) | 6,834) | |
| Total assets | 55,506) | 38,482) | 40,564) | 41,369) | 39,974) | |
| Solvency Ratio | ||||||
| Debt to assets1 | 0.17 | 0.16 | 0.16 | 0.16 | 0.17 | |
| Benchmarks | ||||||
| Debt to Assets, Competitors2 | ||||||
| Freeport-McMoRan Inc. | 0.18 | 0.21 | 0.20 | 0.23 | 0.24 | |
| Debt to Assets, Industry | ||||||
| Materials | 0.25 | 0.26 | 0.22 | 0.23 | — | |
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
= 9,436 ÷ 55,506 = 0.17
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. | Newmont Corp. debt to assets ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Debt to Assets (including Operating Lease Liability)
Newmont 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 finance lease and other financing obligations | 114) | 96) | 106) | 106) | 100) | |
| Current debt | 1,923) | —) | 87) | 551) | —) | |
| Non-current debt | 6,951) | 5,571) | 5,565) | 5,480) | 6,138) | |
| Non-current finance lease and other financing obligations | 448) | 465) | 544) | 565) | 596) | |
| Total debt | 9,436) | 6,132) | 6,302) | 6,702) | 6,834) | |
| Current operating lease obligations | 24) | 26) | 27) | 17) | 28) | |
| Non-current operating lease obligations | 81) | 90) | 101) | 91) | 47) | |
| Total debt (including operating lease liability) | 9,541) | 6,248) | 6,430) | 6,810) | 6,909) | |
| Total assets | 55,506) | 38,482) | 40,564) | 41,369) | 39,974) | |
| Solvency Ratio | ||||||
| Debt to assets (including operating lease liability)1 | 0.17 | 0.16 | 0.16 | 0.16 | 0.17 | |
| Benchmarks | ||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||
| Freeport-McMoRan Inc. | 0.19 | 0.21 | 0.20 | 0.24 | 0.25 | |
| Debt to Assets (including Operating Lease Liability), Industry | ||||||
| Materials | 0.27 | 0.28 | 0.24 | 0.25 | — | |
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
= 9,541 ÷ 55,506 = 0.17
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. | Newmont Corp. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 and from 2022 to 2023. |
Financial Leverage
Newmont 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 | 55,506) | 38,482) | 40,564) | 41,369) | 39,974) | |
| Total Newmont stockholders’ equity | 29,027) | 19,354) | 22,022) | 23,008) | 21,420) | |
| Solvency Ratio | ||||||
| Financial leverage1 | 1.91 | 1.99 | 1.84 | 1.80 | 1.87 | |
| Benchmarks | ||||||
| Financial Leverage, Competitors2 | ||||||
| Freeport-McMoRan Inc. | 3.15 | 3.28 | 3.44 | 4.14 | 4.39 | |
| Financial Leverage, Industry | ||||||
| Materials | 2.60 | 2.61 | 2.49 | 2.47 | — | |
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 Newmont stockholders’ equity
= 55,506 ÷ 29,027 = 1.91
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. | Newmont Corp. financial leverage ratio increased from 2021 to 2022 but then slightly decreased from 2022 to 2023 not reaching 2021 level. |
Interest Coverage
Newmont 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 Newmont stockholders | (2,494) | (429) | 1,166) | 2,829) | 2,805) | |
| Add: Net income attributable to noncontrolling interest | 27) | 60) | (933) | (38) | 79) | |
| Less: Net income (loss) from discontinued operations | 27) | 30) | 57) | 163) | (72) | |
| Add: Income tax expense | 526) | 455) | 1,098) | 704) | 832) | |
| Add: Interest expense, net of capitalized interest | 243) | 227) | 274) | 308) | 301) | |
| Earnings before interest and tax (EBIT) | (1,725) | 283) | 1,548) | 3,640) | 4,089) | |
| Solvency Ratio | ||||||
| Interest coverage1 | -7.10 | 1.25 | 5.65 | 11.82 | 13.58 | |
| Benchmarks | ||||||
| Interest Coverage, Competitors2 | ||||||
| Freeport-McMoRan Inc. | 12.69 | 13.05 | 13.73 | 4.03 | 1.51 | |
| Interest Coverage, Industry | ||||||
| Materials | 14.00 | 14.30 | 15.36 | 8.03 | — | |
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
= -1,725 ÷ 243 = -7.10
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. | Newmont Corp. interest coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |
Fixed Charge Coverage
Newmont 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 Newmont stockholders | (2,494) | (429) | 1,166) | 2,829) | 2,805) | |
| Add: Net income attributable to noncontrolling interest | 27) | 60) | (933) | (38) | 79) | |
| Less: Net income (loss) from discontinued operations | 27) | 30) | 57) | 163) | (72) | |
| Add: Income tax expense | 526) | 455) | 1,098) | 704) | 832) | |
| Add: Interest expense, net of capitalized interest | 243) | 227) | 274) | 308) | 301) | |
| Earnings before interest and tax (EBIT) | (1,725) | 283) | 1,548) | 3,640) | 4,089) | |
| Add: Operating lease cost | 23) | 28) | 21) | 21) | 22) | |
| Earnings before fixed charges and tax | (1,702) | 311) | 1,569) | 3,661) | 4,111) | |
| Interest expense, net of capitalized interest | 243) | 227) | 274) | 308) | 301) | |
| Operating lease cost | 23) | 28) | 21) | 21) | 22) | |
| Fixed charges | 266) | 255) | 295) | 329) | 323) | |
| Solvency Ratio | ||||||
| Fixed charge coverage1 | -6.40 | 1.22 | 5.32 | 11.13 | 12.73 | |
| Benchmarks | ||||||
| Fixed Charge Coverage, Competitors2 | ||||||
| Freeport-McMoRan Inc. | 11.69 | 12.13 | 11.86 | 3.53 | 1.42 | |
| Fixed Charge Coverage, Industry | ||||||
| Materials | 8.89 | 8.68 | 8.75 | 4.84 | — | |
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
= -1,702 ÷ 266 = -6.40
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. | Newmont Corp. fixed charge coverage ratio deteriorated from 2021 to 2022 and from 2022 to 2023. |