Analysis of Solvency Ratios
Quarterly Data
Solvency ratios also known as long-term debt ratios measure a company ability to meet long-term obligations.
Solvency Ratios (Summary)
Union Pacific Corp., solvency ratios (quarterly data)
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
- Debt to Equity
- The debt to equity ratio initially declined from 1.74 in March 2020 to 1.58 at the end of 2020, indicating a reduction in leverage. However, from early 2021, the ratio increased sharply, peaking at 2.85 in September 2022. After this peak, the ratio steadily decreased through 2024, before rising slightly again to 2.05 by March 2025. This suggests fluctuating leverage levels with a general trend toward moderate decline after the 2022 peak.
- Debt to Equity (Including Operating Lease Liability)
- A similar pattern is observed when operating lease liabilities are included, with ratios consistently slightly higher than the standard debt to equity figures. The ratio increased from 1.83 in March 2020, peaked at 2.96 in September 2022, then followed a downward trend, ending at 2.09 in March 2025. This reflects the impact of lease obligations on overall leverage metrics, mirroring the underlying debt trend with marginally elevated values.
- Debt to Capital
- Debt to capital ratios showed a gradual increase from 0.64 in March 2020 to a peak of 0.74 in September 2022, indicating growing debt as a proportion of total capital. After the peak, the ratio decreased to around 0.65 by early 2025, suggesting an improvement in capital structure with less reliance on debt financing over the recent periods.
- Debt to Capital (Including Operating Lease Liability)
- The inclusion of operating lease liabilities raised the debt to capital ratio slightly but followed the same overall trajectory: an increase from 0.65 in early 2020 to 0.75 in late 2022, then a decline to 0.68 by March 2025. This highlights the consistent contribution of lease liabilities to total capital load, reinforcing the observed debt patterns.
- Debt to Assets
- Debt to assets ratio remained fairly stable from 0.45 in early 2020, increasing moderately to 0.51 during 2022, before trending lower again to around 0.46 in early 2025. This indicates a slight rise in asset leverage during the 2021-2022 period, with a subsequent reduction, reflecting cautious asset financing strategies.
- Debt to Assets (Including Operating Lease Liability)
- When operating leases are included, the debt to assets ratio displays a similar pattern but higher values, moving from 0.47 in 2020, peaking at 0.53 in 2022, then declining to 0.49 in early 2025. The presence of leases consistently affects asset-related leverage metrics but does not alter the general trend.
- Financial Leverage
- The financial leverage ratio showed a marked increase from 3.89 in March 2020 to a peak of 5.56 in September 2022, indicating greater use of debt or liabilities relative to equity. Following the peak, the ratio decreased consistently to about 4.01 by the end of 2024, with a slight uptick to 4.27 in March 2025. This pattern indicates a phase of increasing leverage followed by deleveraging efforts.
- Interest Coverage
- Interest coverage ratios, available from the end of 2020 onward, remained robust, ranging from 6.91 to 8.53 over the period. The ratio peaked around late 2021 and early 2022, then exhibited a moderately declining but stable trend, ending near 7.93 in early 2025. This suggests sustained adequate ability to cover interest expenses despite varying leverage levels.
Debt Ratios
Coverage Ratios
Debt to Equity
Union Pacific Corp., debt to equity calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Debt due within one year | 2,227) | 1,425) | 1,652) | 727) | 733) | 1,423) | 1,724) | 1,745) | 2,592) | 1,678) | 1,678) | 2,334) | 1,559) | 2,166) | 1,835) | 1,110) | 1,565) | 1,069) | 1,980) | 1,990) | 1,511) | |||||||
| Debt due after one year | 30,615) | 29,767) | 29,761) | 31,165) | 31,195) | 31,156) | 31,153) | 31,557) | 31,192) | 31,648) | 31,744) | 29,673) | 30,680) | 27,563) | 27,560) | 27,702) | 25,117) | 25,660) | 26,080) | 26,439) | 26,365) | |||||||
| Total debt | 32,842) | 31,192) | 31,413) | 31,892) | 31,928) | 32,579) | 32,877) | 33,302) | 33,784) | 33,326) | 33,422) | 32,007) | 32,239) | 29,729) | 29,395) | 28,812) | 26,682) | 26,729) | 28,060) | 28,429) | 27,876) | |||||||
| Common shareholders’ equity | 16,039) | 16,890) | 16,584) | 16,489) | 15,665) | 14,788) | 14,004) | 13,194) | 12,454) | 12,163) | 11,743) | 12,710) | 11,897) | 14,161) | 13,917) | 14,303) | 16,254) | 16,958) | 17,199) | 16,452) | 15,991) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to equity1 | 2.05 | 1.85 | 1.89 | 1.93 | 2.04 | 2.20 | 2.35 | 2.52 | 2.71 | 2.74 | 2.85 | 2.52 | 2.71 | 2.10 | 2.11 | 2.01 | 1.64 | 1.58 | 1.63 | 1.73 | 1.74 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Equity, Competitors2 | ||||||||||||||||||||||||||||
| FedEx Corp. | 0.75 | 0.73 | 0.77 | 0.77 | 0.77 | 0.79 | 0.82 | 0.84 | 0.80 | 0.81 | 0.84 | 0.82 | 0.85 | 0.86 | 1.07 | 1.11 | 1.20 | 1.20 | 1.03 | 1.01 | 1.03 | |||||||
| Uber Technologies Inc. | 0.38 | 0.39 | 0.74 | 0.77 | 0.86 | 0.84 | 0.99 | 1.07 | 1.23 | 1.26 | 1.48 | 1.39 | 1.04 | 0.64 | 0.67 | 0.55 | 0.57 | 0.62 | 0.75 | 0.70 | 0.50 | |||||||
| United Airlines Holdings Inc. | 2.19 | 2.26 | 2.49 | 2.78 | 3.24 | 3.40 | 3.57 | 4.17 | 4.80 | 4.68 | 6.74 | 8.55 | 9.55 | 7.03 | 6.55 | 7.39 | 5.69 | 4.75 | 4.03 | 2.25 | 1.88 | |||||||
| United Parcel Service Inc. | 1.36 | 1.27 | 1.30 | 1.30 | 1.18 | 1.29 | 1.10 | 1.04 | 1.11 | 0.99 | 1.20 | 1.26 | 1.42 | 1.54 | 1.84 | 2.09 | 3.32 | 37.53 | 4.60 | 6.18 | 8.67 | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Debt to equity = Total debt ÷ Common shareholders’ equity
= 32,842 ÷ 16,039 = 2.05
2 Click competitor name to see calculations.
- Total Debt
- The total debt exhibited fluctuations over the periods analyzed. Starting at approximately $27.9 billion in March 2020, the debt level showed a slight decrease toward the end of 2020, bottoming at around $26.7 billion. It then increased steadily through 2021 and into early 2022, peaking above $33 billion in late 2022 and early 2023. From early 2023 onward, total debt showed a modest downward trend, declining to about $31.2 billion by March 2025, despite some minor fluctuations. Overall, the pattern indicates periods of debt accumulation followed by gradual deleveraging.
- Common Shareholders’ Equity
- Common shareholders' equity displayed a decreasing trend initially, falling from roughly $16 billion in March 2020 to a low near $11.7 billion in late 2021. After this decline, equity levels generally recovered, rising consistently from early 2022 to late 2024, reaching approximately $16.6 billion by September 2024. However, there was a slight dip in the final reported quarter, decreasing to about $16 billion by March 2025. The data suggest a period of equity erosion during 2020–2021 followed by an extended recovery phase through 2024, with minor variability at the end.
- Debt to Equity Ratio
- The debt to equity ratio reveals the relative changes between debt and equity over time. Initially around 1.74 in early 2020, this ratio declined moderately to approximately 1.58 by the end of 2020, reflecting either reduced debt or increased equity. Subsequently, it rose sharply during 2021 to above 2.1, reflecting a combination of increased debt and diminished equity. The ratio peaked at roughly 2.85 in late 2022, indicating heightened leverage. Following this peak, the ratio gradually decreased through 2023 and 2024 to about 1.85, suggesting some balance restoration between debt and equity. However, a slight uptick to 2.05 was observed in March 2025, indicating a minor resurgence in leverage. The overall trend highlights a cycle of increased leverage followed by partial deleveraging.
- Summary of Trends
- The financial data indicate a period of increased indebtedness and reduced equity during 2020 and 2021, likely influenced by external pressures during that period. This led to a substantial rise in leverage as evidenced by the debt to equity ratio. From 2022 onward, the company appears to have embarked on a gradual rebalancing, reducing leverage by either increasing equity, decreasing debt, or a combination thereof. The stabilization and improvement of equity levels along with the reduction in the debt to equity ratio in recent periods suggest an improving financial position. Nevertheless, the fluctuations toward the end of the timeline imply ongoing adjustments to capital structure that warrant continued monitoring.
Debt to Equity (including Operating Lease Liability)
Union Pacific Corp., debt to equity (including operating lease liability) calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Debt due within one year | 2,227) | 1,425) | 1,652) | 727) | 733) | 1,423) | 1,724) | 1,745) | 2,592) | 1,678) | 1,678) | 2,334) | 1,559) | 2,166) | 1,835) | 1,110) | 1,565) | 1,069) | 1,980) | 1,990) | 1,511) | |||||||
| Debt due after one year | 30,615) | 29,767) | 29,761) | 31,165) | 31,195) | 31,156) | 31,153) | 31,557) | 31,192) | 31,648) | 31,744) | 29,673) | 30,680) | 27,563) | 27,560) | 27,702) | 25,117) | 25,660) | 26,080) | 26,439) | 26,365) | |||||||
| Total debt | 32,842) | 31,192) | 31,413) | 31,892) | 31,928) | 32,579) | 32,877) | 33,302) | 33,784) | 33,326) | 33,422) | 32,007) | 32,239) | 29,729) | 29,395) | 28,812) | 26,682) | 26,729) | 28,060) | 28,429) | 27,876) | |||||||
| Noncurrent operating lease liabilities | 758) | 925) | 934) | 988) | 1,016) | 1,245) | 1,244) | 1,217) | 1,233) | 1,300) | 1,303) | 1,295) | 1,291) | 1,429) | 1,262) | 1,256) | 1,171) | 1,283) | 1,293) | 1,320) | 1,339) | |||||||
| Total debt (including operating lease liability) | 33,600) | 32,117) | 32,347) | 32,880) | 32,944) | 33,824) | 34,121) | 34,519) | 35,017) | 34,626) | 34,725) | 33,302) | 33,530) | 31,158) | 30,657) | 30,068) | 27,853) | 28,012) | 29,353) | 29,749) | 29,215) | |||||||
| Common shareholders’ equity | 16,039) | 16,890) | 16,584) | 16,489) | 15,665) | 14,788) | 14,004) | 13,194) | 12,454) | 12,163) | 11,743) | 12,710) | 11,897) | 14,161) | 13,917) | 14,303) | 16,254) | 16,958) | 17,199) | 16,452) | 15,991) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to equity (including operating lease liability)1 | 2.09 | 1.90 | 1.95 | 1.99 | 2.10 | 2.29 | 2.44 | 2.62 | 2.81 | 2.85 | 2.96 | 2.62 | 2.82 | 2.20 | 2.20 | 2.10 | 1.71 | 1.65 | 1.71 | 1.81 | 1.83 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Equity (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||||||
| FedEx Corp. | 1.39 | 1.37 | 1.42 | 1.43 | 1.44 | 1.47 | 1.54 | 1.58 | 1.50 | 1.49 | 1.52 | 1.48 | 1.49 | 1.51 | 1.75 | 1.83 | 1.95 | 1.97 | 1.78 | 1.78 | 1.81 | |||||||
| Uber Technologies Inc. | 0.45 | 0.46 | 0.86 | 0.90 | 1.01 | 1.00 | 1.17 | 1.27 | 1.48 | 1.52 | 1.77 | 1.68 | 1.25 | 0.77 | 0.78 | 0.67 | 0.70 | 0.76 | 0.94 | 0.88 | 0.65 | |||||||
| United Airlines Holdings Inc. | 2.61 | 2.65 | 2.92 | 3.25 | 3.79 | 3.94 | 4.15 | 4.85 | 5.58 | 5.41 | 7.84 | 9.94 | 11.12 | 8.17 | 7.60 | 8.52 | 6.77 | 5.69 | 4.83 | 2.92 | 2.49 | |||||||
| United Parcel Service Inc. | 1.63 | 1.53 | 1.56 | 1.55 | 1.44 | 1.54 | 1.33 | 1.25 | 1.32 | 1.19 | 1.41 | 1.48 | 1.65 | 1.79 | 2.13 | 2.42 | 3.75 | 42.24 | 5.14 | 6.86 | 9.58 | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Common shareholders’ equity
= 33,600 ÷ 16,039 = 2.09
2 Click competitor name to see calculations.
- Total debt (including operating lease liability)
- The total debt exhibits a generally increasing trend from March 31, 2020, to March 31, 2025. Beginning at $29,215 million in early 2020, the debt levels rose gradually with some fluctuations, reaching a peak around $35,017 million by March 31, 2023. After this peak, the debt slightly decreased and stabilized between $32,000 million and $34,000 million through the end of the period, ending at $33,600 million in March 2025. This indicates ongoing reliance on debt financing, with a notable spike in 2022-2023 followed by moderate reduction.
- Common shareholders’ equity
- Common equity initially increased from about $15,991 million in March 2020 to approximately $17,199 million by September 2020. However, from late 2020 through 2022, equity declined significantly, reaching a low of around $11,743 million in September 2022. Subsequently, equity showed a steady recovery, growing consistently into 2024 and peaking near $16,584 million by September 2024 before dipping slightly to $16,039 million in March 2025. This pattern suggests an initial strengthening, a period of weakness possibly due to adverse conditions or losses, followed by a gradual restoration of equity.
- Debt to equity ratio (including operating lease liability)
- The debt to equity ratio displayed notable volatility over the period. Starting at 1.83 in March 2020, it declined to 1.65 by year-end 2020, reflecting a comparatively balanced leverage position early in the period. From 2021 through early 2023, the ratio increased markedly, reaching a high of 2.96 in September 2022, indicating a period of elevated leverage and increased financial risk. Following this peak, the ratio gradually fell to around 1.90 by late 2024, signaling a reduction in leverage as equity recovered and debt levels stabilized. Interestingly, there is a slight uptick to 2.09 by March 2025, suggesting a modest increase in leverage in the most recent quarter.
Debt to Capital
Union Pacific Corp., debt to capital calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Debt due within one year | 2,227) | 1,425) | 1,652) | 727) | 733) | 1,423) | 1,724) | 1,745) | 2,592) | 1,678) | 1,678) | 2,334) | 1,559) | 2,166) | 1,835) | 1,110) | 1,565) | 1,069) | 1,980) | 1,990) | 1,511) | |||||||
| Debt due after one year | 30,615) | 29,767) | 29,761) | 31,165) | 31,195) | 31,156) | 31,153) | 31,557) | 31,192) | 31,648) | 31,744) | 29,673) | 30,680) | 27,563) | 27,560) | 27,702) | 25,117) | 25,660) | 26,080) | 26,439) | 26,365) | |||||||
| Total debt | 32,842) | 31,192) | 31,413) | 31,892) | 31,928) | 32,579) | 32,877) | 33,302) | 33,784) | 33,326) | 33,422) | 32,007) | 32,239) | 29,729) | 29,395) | 28,812) | 26,682) | 26,729) | 28,060) | 28,429) | 27,876) | |||||||
| Common shareholders’ equity | 16,039) | 16,890) | 16,584) | 16,489) | 15,665) | 14,788) | 14,004) | 13,194) | 12,454) | 12,163) | 11,743) | 12,710) | 11,897) | 14,161) | 13,917) | 14,303) | 16,254) | 16,958) | 17,199) | 16,452) | 15,991) | |||||||
| Total capital | 48,881) | 48,082) | 47,997) | 48,381) | 47,593) | 47,367) | 46,881) | 46,496) | 46,238) | 45,489) | 45,165) | 44,717) | 44,136) | 43,890) | 43,312) | 43,115) | 42,936) | 43,687) | 45,259) | 44,881) | 43,867) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to capital1 | 0.67 | 0.65 | 0.65 | 0.66 | 0.67 | 0.69 | 0.70 | 0.72 | 0.73 | 0.73 | 0.74 | 0.72 | 0.73 | 0.68 | 0.68 | 0.67 | 0.62 | 0.61 | 0.62 | 0.63 | 0.64 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Capital, Competitors2 | ||||||||||||||||||||||||||||
| FedEx Corp. | 0.43 | 0.42 | 0.43 | 0.43 | 0.44 | 0.44 | 0.45 | 0.46 | 0.44 | 0.45 | 0.46 | 0.45 | 0.46 | 0.46 | 0.52 | 0.53 | 0.54 | 0.55 | 0.51 | 0.50 | 0.51 | |||||||
| Uber Technologies Inc. | 0.28 | 0.28 | 0.43 | 0.43 | 0.46 | 0.46 | 0.50 | 0.52 | 0.55 | 0.56 | 0.60 | 0.58 | 0.51 | 0.39 | 0.40 | 0.35 | 0.36 | 0.38 | 0.43 | 0.41 | 0.33 | |||||||
| United Airlines Holdings Inc. | 0.69 | 0.69 | 0.71 | 0.74 | 0.76 | 0.77 | 0.78 | 0.81 | 0.83 | 0.82 | 0.87 | 0.90 | 0.91 | 0.88 | 0.87 | 0.88 | 0.85 | 0.83 | 0.80 | 0.69 | 0.65 | |||||||
| United Parcel Service Inc. | 0.58 | 0.56 | 0.57 | 0.57 | 0.54 | 0.56 | 0.52 | 0.51 | 0.53 | 0.50 | 0.55 | 0.56 | 0.59 | 0.61 | 0.65 | 0.68 | 0.77 | 0.97 | 0.82 | 0.86 | 0.90 | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Debt to capital = Total debt ÷ Total capital
= 32,842 ÷ 48,881 = 0.67
2 Click competitor name to see calculations.
The analyzed data reflects the quarterly trends of debt and capital for the company over a five-year span from March 2020 to March 2025. The figures for total debt, total capital, and the debt to capital ratio show notable variations and developments over this period.
- Total Debt
- The total debt started at US$27,876 million in March 2020. It showed a slight increase and fluctuated around the range of approximately US$26,700 million to US$29,700 million throughout 2020 and 2021, peaking near the end of 2021 at US$29,729 million. Following this, there was a general upward trend reaching a high of US$33,784 million in March 2023. Afterwards, debt gradually decreased to approximately US$31,192 million by March 2025, indicating some deleveraging or repayment actions in the later periods.
- Total Capital
- Total capital started at US$43,867 million in March 2020, with minor fluctuations in 2020 and 2021. The capital base grew steadily, climbing from US$42,936 million in March 2021 to US$48,881 million by March 2025. This demonstrates an overall expansion in the company's capital structure over the analyzed quarters.
- Debt to Capital Ratio
- The debt to capital ratio began at 0.64 in March 2020 and experienced a decline through the remainder of 2020, reaching 0.61 by December 2020. However, this ratio increased significantly during 2021, peaking around 0.68 towards the end of that year. In 2022 and beyond, the ratio remained elevated, reaching a peak of 0.74 in the third quarter of 2022. Subsequently, the ratio demonstrated a downward trajectory, decreasing progressively to 0.67 by March 2025. This pattern indicates that while the company increased its leverage during 2021 and early 2022, it has since been reducing relative debt levels compared to total capital.
In summary, there was an initial period of relatively stable debt and capital with moderate growth, followed by a phase of increased leverage during 2021 and early 2022. Thereafter, the company has been strengthening its capital base and managing down its relative debt burden. These trends suggest active capital structure management, balancing between debt financing and capital growth over the reviewed timeframe.
Debt to Capital (including Operating Lease Liability)
Union Pacific Corp., debt to capital (including operating lease liability) calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Debt due within one year | 2,227) | 1,425) | 1,652) | 727) | 733) | 1,423) | 1,724) | 1,745) | 2,592) | 1,678) | 1,678) | 2,334) | 1,559) | 2,166) | 1,835) | 1,110) | 1,565) | 1,069) | 1,980) | 1,990) | 1,511) | |||||||
| Debt due after one year | 30,615) | 29,767) | 29,761) | 31,165) | 31,195) | 31,156) | 31,153) | 31,557) | 31,192) | 31,648) | 31,744) | 29,673) | 30,680) | 27,563) | 27,560) | 27,702) | 25,117) | 25,660) | 26,080) | 26,439) | 26,365) | |||||||
| Total debt | 32,842) | 31,192) | 31,413) | 31,892) | 31,928) | 32,579) | 32,877) | 33,302) | 33,784) | 33,326) | 33,422) | 32,007) | 32,239) | 29,729) | 29,395) | 28,812) | 26,682) | 26,729) | 28,060) | 28,429) | 27,876) | |||||||
| Noncurrent operating lease liabilities | 758) | 925) | 934) | 988) | 1,016) | 1,245) | 1,244) | 1,217) | 1,233) | 1,300) | 1,303) | 1,295) | 1,291) | 1,429) | 1,262) | 1,256) | 1,171) | 1,283) | 1,293) | 1,320) | 1,339) | |||||||
| Total debt (including operating lease liability) | 33,600) | 32,117) | 32,347) | 32,880) | 32,944) | 33,824) | 34,121) | 34,519) | 35,017) | 34,626) | 34,725) | 33,302) | 33,530) | 31,158) | 30,657) | 30,068) | 27,853) | 28,012) | 29,353) | 29,749) | 29,215) | |||||||
| Common shareholders’ equity | 16,039) | 16,890) | 16,584) | 16,489) | 15,665) | 14,788) | 14,004) | 13,194) | 12,454) | 12,163) | 11,743) | 12,710) | 11,897) | 14,161) | 13,917) | 14,303) | 16,254) | 16,958) | 17,199) | 16,452) | 15,991) | |||||||
| Total capital (including operating lease liability) | 49,639) | 49,007) | 48,931) | 49,369) | 48,609) | 48,612) | 48,125) | 47,713) | 47,471) | 46,789) | 46,468) | 46,012) | 45,427) | 45,319) | 44,574) | 44,371) | 44,107) | 44,970) | 46,552) | 46,201) | 45,206) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to capital (including operating lease liability)1 | 0.68 | 0.66 | 0.66 | 0.67 | 0.68 | 0.70 | 0.71 | 0.72 | 0.74 | 0.74 | 0.75 | 0.72 | 0.74 | 0.69 | 0.69 | 0.68 | 0.63 | 0.62 | 0.63 | 0.64 | 0.65 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Capital (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||||||
| FedEx Corp. | 0.58 | 0.58 | 0.59 | 0.59 | 0.59 | 0.60 | 0.61 | 0.61 | 0.60 | 0.60 | 0.60 | 0.60 | 0.60 | 0.60 | 0.64 | 0.65 | 0.66 | 0.66 | 0.64 | 0.64 | 0.64 | |||||||
| Uber Technologies Inc. | 0.31 | 0.32 | 0.46 | 0.47 | 0.50 | 0.50 | 0.54 | 0.56 | 0.60 | 0.60 | 0.64 | 0.63 | 0.56 | 0.43 | 0.44 | 0.40 | 0.41 | 0.43 | 0.48 | 0.47 | 0.40 | |||||||
| United Airlines Holdings Inc. | 0.72 | 0.73 | 0.74 | 0.76 | 0.79 | 0.80 | 0.81 | 0.83 | 0.85 | 0.84 | 0.89 | 0.91 | 0.92 | 0.89 | 0.88 | 0.89 | 0.87 | 0.85 | 0.83 | 0.75 | 0.71 | |||||||
| United Parcel Service Inc. | 0.62 | 0.61 | 0.61 | 0.61 | 0.59 | 0.61 | 0.57 | 0.56 | 0.57 | 0.54 | 0.58 | 0.60 | 0.62 | 0.64 | 0.68 | 0.71 | 0.79 | 0.98 | 0.84 | 0.87 | 0.91 | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 33,600 ÷ 49,639 = 0.68
2 Click competitor name to see calculations.
The analysis of the financial data reveals notable trends in the debt and capital structure over the observed periods.
- Total Debt (including operating lease liability)
- The total debt showed a moderate fluctuation from March 2020 through December 2020, initially decreasing from 29,215 million USD to 28,012 million USD. Subsequently, it increased steadily through the end of 2021, reaching 31,158 million USD. In 2022, debt levels rose further, peaking at 34,725 million USD in September before slightly decreasing towards the end of 2023. During 2024, the trend turned downward more distinctly, falling from 32,944 million USD in March to 32,117 million USD in March 2025, with a minor increase noted at the final date to 33,600 million USD. Overall, the debt level exhibits a rising trend from early 2021 through 2023, followed by a gradual reduction in 2024 and early 2025.
- Total Capital (including operating lease liability)
- Total capital remained relatively stable with incremental increases over the entire period. From 45,206 million USD in March 2020, the figure showed incremental rises interspersed with periods of relative stability, reaching close to 49,671 million USD by the first quarter of 2025. The overall pattern indicates a steady growth in total capital, reflecting either increases in equity, retained earnings, or a combination of capital components supporting the business structure.
- Debt to Capital Ratio (including operating lease liability)
- This ratio declined slightly from 0.65 in March 2020 to a low of 0.62 by December 2020, indicative of decreased reliance on debt relative to overall capital early in the pandemic period. However, the ratio then increased notably throughout 2021, reaching a peak of approximately 0.74 by late 2021 and maintaining similar elevated levels into 2022. Thereafter, the ratio gradually declined through 2023 and 2024, moving down to approximately 0.68 by the start of 2025, with a minor uptick observed at the final data point. This reflects a period of higher leverage through 2021 and 2022, followed by a moderate deleveraging trend.
In summary, the data suggests a period of capital expansion accompanied by increased debt leverage entering 2021 and 2022. After peaking during this period, debt levels and the debt-to-capital ratio show signs of moderation, indicating an effort towards reducing financial leverage while maintaining capital growth. These dynamics underscore a shifting balance between debt and equity financing approaches over the analyzed timeframe.
Debt to Assets
Union Pacific Corp., debt to assets calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Debt due within one year | 2,227) | 1,425) | 1,652) | 727) | 733) | 1,423) | 1,724) | 1,745) | 2,592) | 1,678) | 1,678) | 2,334) | 1,559) | 2,166) | 1,835) | 1,110) | 1,565) | 1,069) | 1,980) | 1,990) | 1,511) | |||||||
| Debt due after one year | 30,615) | 29,767) | 29,761) | 31,165) | 31,195) | 31,156) | 31,153) | 31,557) | 31,192) | 31,648) | 31,744) | 29,673) | 30,680) | 27,563) | 27,560) | 27,702) | 25,117) | 25,660) | 26,080) | 26,439) | 26,365) | |||||||
| Total debt | 32,842) | 31,192) | 31,413) | 31,892) | 31,928) | 32,579) | 32,877) | 33,302) | 33,784) | 33,326) | 33,422) | 32,007) | 32,239) | 29,729) | 29,395) | 28,812) | 26,682) | 26,729) | 28,060) | 28,429) | 27,876) | |||||||
| Total assets | 68,492) | 67,715) | 67,570) | 67,817) | 67,266) | 67,132) | 66,540) | 66,033) | 65,968) | 65,449) | 65,343) | 64,440) | 64,051) | 63,525) | 62,360) | 62,073) | 61,793) | 62,398) | 63,714) | 63,555) | 62,216) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to assets1 | 0.48 | 0.46 | 0.46 | 0.47 | 0.47 | 0.49 | 0.49 | 0.50 | 0.51 | 0.51 | 0.51 | 0.50 | 0.50 | 0.47 | 0.47 | 0.46 | 0.43 | 0.43 | 0.44 | 0.45 | 0.45 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Assets, Competitors2 | ||||||||||||||||||||||||||||
| FedEx Corp. | 0.23 | 0.23 | 0.23 | 0.23 | 0.23 | 0.24 | 0.24 | 0.24 | 0.23 | 0.24 | 0.24 | 0.24 | 0.25 | 0.25 | 0.28 | 0.29 | 0.30 | 0.30 | 0.28 | 0.27 | 0.27 | |||||||
| Uber Technologies Inc. | 0.16 | 0.16 | 0.23 | 0.23 | 0.24 | 0.24 | 0.26 | 0.27 | 0.29 | 0.29 | 0.30 | 0.30 | 0.28 | 0.24 | 0.25 | 0.22 | 0.23 | 0.23 | 0.23 | 0.24 | 0.19 | |||||||
| United Airlines Holdings Inc. | 0.36 | 0.39 | 0.39 | 0.40 | 0.41 | 0.45 | 0.43 | 0.44 | 0.45 | 0.48 | 0.48 | 0.48 | 0.50 | 0.52 | 0.51 | 0.51 | 0.48 | 0.48 | 0.46 | 0.35 | 0.33 | |||||||
| United Parcel Service Inc. | 0.31 | 0.30 | 0.32 | 0.32 | 0.30 | 0.31 | 0.30 | 0.30 | 0.31 | 0.28 | 0.29 | 0.29 | 0.31 | 0.32 | 0.34 | 0.35 | 0.37 | 0.40 | 0.41 | 0.43 | 0.47 | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Debt to assets = Total debt ÷ Total assets
= 32,842 ÷ 68,492 = 0.48
2 Click competitor name to see calculations.
- Total Debt
- The total debt showed a moderate fluctuation over the observed period. Starting at 27,876 million USD in the first quarter of 2020, it slightly increased, reaching a peak of 33,784 million USD by the first quarter of 2023. Subsequently, it experienced a gradual decline, decreasing to 31,192 million USD by the first quarter of 2025, with a minor uptick to 32,842 million USD at the end of the period. This pattern indicates variability but a general stabilization towards the latter quarters.
- Total Assets
- Total assets exhibited a consistent upward trend throughout the timeframe. Beginning at 62,216 million USD in early 2020, the asset base progressively increased to 68,492 million USD by the first quarter of 2025. This steady growth suggests ongoing asset accumulation and potential expansion of the company’s operational scale or investment in fixed and current assets.
- Debt to Assets Ratio
- The debt to assets ratio moved in a relatively narrow range, starting at 0.45 in March 2020 and demonstrating minor fluctuations over time. The ratio peaked at 0.51 during late 2022 and early 2023, indicating a higher leverage level during that period. Following this peak, the ratio declined, settling around 0.46 to 0.48 towards the end of the period. The trend reflects an initial increase in financial leverage, followed by moderate deleveraging or asset growth outpacing debt increases.
Debt to Assets (including Operating Lease Liability)
Union Pacific Corp., debt to assets (including operating lease liability) calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Debt due within one year | 2,227) | 1,425) | 1,652) | 727) | 733) | 1,423) | 1,724) | 1,745) | 2,592) | 1,678) | 1,678) | 2,334) | 1,559) | 2,166) | 1,835) | 1,110) | 1,565) | 1,069) | 1,980) | 1,990) | 1,511) | |||||||
| Debt due after one year | 30,615) | 29,767) | 29,761) | 31,165) | 31,195) | 31,156) | 31,153) | 31,557) | 31,192) | 31,648) | 31,744) | 29,673) | 30,680) | 27,563) | 27,560) | 27,702) | 25,117) | 25,660) | 26,080) | 26,439) | 26,365) | |||||||
| Total debt | 32,842) | 31,192) | 31,413) | 31,892) | 31,928) | 32,579) | 32,877) | 33,302) | 33,784) | 33,326) | 33,422) | 32,007) | 32,239) | 29,729) | 29,395) | 28,812) | 26,682) | 26,729) | 28,060) | 28,429) | 27,876) | |||||||
| Noncurrent operating lease liabilities | 758) | 925) | 934) | 988) | 1,016) | 1,245) | 1,244) | 1,217) | 1,233) | 1,300) | 1,303) | 1,295) | 1,291) | 1,429) | 1,262) | 1,256) | 1,171) | 1,283) | 1,293) | 1,320) | 1,339) | |||||||
| Total debt (including operating lease liability) | 33,600) | 32,117) | 32,347) | 32,880) | 32,944) | 33,824) | 34,121) | 34,519) | 35,017) | 34,626) | 34,725) | 33,302) | 33,530) | 31,158) | 30,657) | 30,068) | 27,853) | 28,012) | 29,353) | 29,749) | 29,215) | |||||||
| Total assets | 68,492) | 67,715) | 67,570) | 67,817) | 67,266) | 67,132) | 66,540) | 66,033) | 65,968) | 65,449) | 65,343) | 64,440) | 64,051) | 63,525) | 62,360) | 62,073) | 61,793) | 62,398) | 63,714) | 63,555) | 62,216) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Debt to assets (including operating lease liability)1 | 0.49 | 0.47 | 0.48 | 0.48 | 0.49 | 0.50 | 0.51 | 0.52 | 0.53 | 0.53 | 0.53 | 0.52 | 0.52 | 0.49 | 0.49 | 0.48 | 0.45 | 0.45 | 0.46 | 0.47 | 0.47 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Debt to Assets (including Operating Lease Liability), Competitors2 | ||||||||||||||||||||||||||||
| FedEx Corp. | 0.44 | 0.43 | 0.44 | 0.43 | 0.44 | 0.44 | 0.44 | 0.44 | 0.44 | 0.43 | 0.44 | 0.44 | 0.44 | 0.44 | 0.47 | 0.47 | 0.49 | 0.49 | 0.48 | 0.47 | 0.48 | |||||||
| Uber Technologies Inc. | 0.19 | 0.19 | 0.27 | 0.27 | 0.28 | 0.29 | 0.31 | 0.32 | 0.34 | 0.35 | 0.36 | 0.36 | 0.34 | 0.29 | 0.30 | 0.26 | 0.27 | 0.28 | 0.29 | 0.30 | 0.25 | |||||||
| United Airlines Holdings Inc. | 0.43 | 0.45 | 0.46 | 0.47 | 0.48 | 0.52 | 0.50 | 0.51 | 0.53 | 0.55 | 0.56 | 0.56 | 0.58 | 0.60 | 0.60 | 0.59 | 0.57 | 0.57 | 0.55 | 0.45 | 0.44 | |||||||
| United Parcel Service Inc. | 0.37 | 0.37 | 0.38 | 0.38 | 0.36 | 0.38 | 0.36 | 0.36 | 0.37 | 0.33 | 0.34 | 0.34 | 0.36 | 0.37 | 0.39 | 0.40 | 0.42 | 0.44 | 0.46 | 0.48 | 0.52 | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 33,600 ÷ 68,492 = 0.49
2 Click competitor name to see calculations.
The financial data reveals a number of notable trends concerning the company’s debt, assets, and leverage over the examined periods.
- Total debt (including operating lease liability)
-
This metric shows fluctuations with an overall increasing trend from the beginning to the middle of the timeline, reaching a peak in late 2021 and the first half of 2022. The debt level rose from approximately $29.2 billion in March 2020 to a peak of about $35.0 billion by March 2023. After this apex, there is a gradual decline in total debt, decreasing to about $33.6 billion by March 2025.
- Total assets
-
Total assets depict a steady but moderate upward trend throughout the periods observed. Starting at around $62.2 billion in March 2020, the asset base grows to approximately $68.5 billion by March 2025. This steady growth of assets indicates ongoing investments or asset appreciation over time with minimal volatility.
- Debt to assets ratio (including operating lease liability)
-
The leverage ratio starts at 0.47 in March 2020, experiences a slight decrease to a low of about 0.45 towards the end of 2020 and early 2021, then rises steadily, peaking at approximately 0.53 during late 2021 and early to mid-2022. Following this peak, the ratio declines gradually back towards 0.49 by March 2025. This indicates that the company increased its debt relative to assets up to 2021-2022, and then took steps to reduce leverage throughout the subsequent periods.
In summary, the company increased its total debt significantly through 2021 and early 2022, surpassing asset growth in this interval, which led to a higher leverage ratio. After reaching this peak, the company’s debt levels decreased moderately while assets continued slow but steady growth, resulting in a reduction of the debt to assets ratio towards the end of the observed period. These trends suggest strategic debt management to optimize the capital structure over time.
Financial Leverage
Union Pacific Corp., financial leverage calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Total assets | 68,492) | 67,715) | 67,570) | 67,817) | 67,266) | 67,132) | 66,540) | 66,033) | 65,968) | 65,449) | 65,343) | 64,440) | 64,051) | 63,525) | 62,360) | 62,073) | 61,793) | 62,398) | 63,714) | 63,555) | 62,216) | |||||||
| Common shareholders’ equity | 16,039) | 16,890) | 16,584) | 16,489) | 15,665) | 14,788) | 14,004) | 13,194) | 12,454) | 12,163) | 11,743) | 12,710) | 11,897) | 14,161) | 13,917) | 14,303) | 16,254) | 16,958) | 17,199) | 16,452) | 15,991) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Financial leverage1 | 4.27 | 4.01 | 4.07 | 4.11 | 4.29 | 4.54 | 4.75 | 5.00 | 5.30 | 5.38 | 5.56 | 5.07 | 5.38 | 4.49 | 4.48 | 4.34 | 3.80 | 3.68 | 3.70 | 3.86 | 3.89 | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Financial Leverage, Competitors2 | ||||||||||||||||||||||||||||
| FedEx Corp. | 3.19 | 3.15 | 3.26 | 3.29 | 3.30 | 3.34 | 3.47 | 3.55 | 3.41 | 3.45 | 3.43 | 3.38 | 3.37 | 3.43 | 3.77 | 3.86 | 3.99 | 4.02 | 3.72 | 3.75 | 3.77 | |||||||
| Uber Technologies Inc. | 2.40 | 2.38 | 3.19 | 3.36 | 3.58 | 3.44 | 3.84 | 3.93 | 4.32 | 4.37 | 4.98 | 4.66 | 3.68 | 2.68 | 2.65 | 2.56 | 2.55 | 2.71 | 3.23 | 2.96 | 2.65 | |||||||
| United Airlines Holdings Inc. | 6.03 | 5.84 | 6.35 | 6.96 | 7.83 | 7.63 | 8.26 | 9.52 | 10.56 | 9.77 | 14.08 | 17.76 | 19.05 | 13.56 | 12.76 | 14.49 | 11.84 | 9.99 | 8.74 | 6.45 | 5.63 | |||||||
| United Parcel Service Inc. | 4.37 | 4.19 | 4.05 | 4.08 | 4.00 | 4.09 | 3.67 | 3.51 | 3.60 | 3.59 | 4.10 | 4.30 | 4.55 | 4.87 | 5.46 | 6.00 | 8.86 | 94.99 | 11.16 | 14.22 | 18.46 | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Financial leverage = Total assets ÷ Common shareholders’ equity
= 68,492 ÷ 16,039 = 4.27
2 Click competitor name to see calculations.
- Total Assets
- The total assets exhibited moderate fluctuations over the periods analyzed. Beginning at approximately $62.2 billion in March 2020, assets showed a slight upward trend with intermittent periods of stability, reaching around $67.5 billion by March 2025. The asset base experienced gradual growth, particularly noticeable from early 2022 through 2025, indicating a steady expansion or accumulation of resources during this timeframe.
- Common Shareholders’ Equity
- Common shareholders’ equity revealed more variability compared to total assets. Initially increasing from about $16.0 billion in March 2020 to a peak nearing $17.2 billion by September 2020, equity then declined significantly through 2021, reaching a low near $11.9 billion in March 2022. Subsequent quarters saw a recovery trend, with equity steadily rising to approximately $16.9 billion by September 2024. However, a minor decrease was observed in the final quarter ending March 2025, where equity reduced slightly to around $16.0 billion. These fluctuations may reflect changes in retained earnings, dividend distributions, or market valuation impacts.
- Financial Leverage
- Financial leverage increased markedly from a ratio of 3.89 in March 2020 to a peak above 5.5 in late 2022. This indicates a heightened reliance on debt financing relative to equity during that period. Following the peak, leverage ratios began a steady decline, falling to roughly 4.0 by December 2024, suggesting a reduction in debt levels or an increase in equity. A slight increase was again noted in the first quarter of 2025, with the ratio rising to about 4.27. The initial increase and subsequent decline in leverage may reflect strategic financial decisions to optimize the capital structure over time.
- Overall Insights
- The data reflects a period of asset growth accompanied by significant volatility in equity and leverage levels. The decline in equity through 2021 and early 2022, combined with the rise in leverage, points to an increased debt usage potentially to support operations or investments during challenging periods. The subsequent recovery in equity alongside a decrease in leverage suggests improved financial stability and a possible deleveraging strategy. The overall trends demonstrate responsive financial management in adjusting to changing economic or business conditions across the observed timeframe.
Interest Coverage
Union Pacific Corp., interest coverage calculation (quarterly data)
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||||
| Net income | 1,626) | 1,762) | 1,671) | 1,673) | 1,641) | 1,652) | 1,528) | 1,569) | 1,630) | 1,638) | 1,895) | 1,835) | 1,630) | 1,711) | 1,673) | 1,798) | 1,341) | 1,380) | 1,363) | 1,132) | 1,474) | |||||||
| Add: Income tax expense | 501) | 519) | 518) | 511) | 499) | 532) | 421) | 389) | 512) | 533) | 547) | 507) | 487) | 517) | 507) | 518) | 413) | 413) | 410) | 364) | 444) | |||||||
| Add: Interest expense | 322) | 312) | 314) | 319) | 324) | 331) | 334) | 339) | 336) | 333) | 315) | 316) | 307) | 295) | 290) | 282) | 290) | 279) | 295) | 289) | 278) | |||||||
| Earnings before interest and tax (EBIT) | 2,449) | 2,593) | 2,503) | 2,503) | 2,464) | 2,515) | 2,283) | 2,297) | 2,478) | 2,504) | 2,757) | 2,658) | 2,424) | 2,523) | 2,470) | 2,598) | 2,044) | 2,072) | 2,068) | 1,785) | 2,196) | |||||||
| Solvency Ratio | ||||||||||||||||||||||||||||
| Interest coverage1 | 7.93 | 7.93 | 7.75 | 7.47 | 7.20 | 7.14 | 7.13 | 7.59 | 8.00 | 8.14 | 8.40 | 8.34 | 8.53 | 8.33 | 8.05 | 7.66 | 6.91 | 7.12 | — | — | — | |||||||
| Benchmarks | ||||||||||||||||||||||||||||
| Interest Coverage, Competitors2 | ||||||||||||||||||||||||||||
| Uber Technologies Inc. | 13.09 | 8.81 | 9.95 | 5.18 | 4.12 | 4.74 | 2.67 | 0.55 | -4.42 | -15.49 | -15.64 | -19.05 | -13.64 | -1.20 | -4.91 | -1.89 | -7.20 | -14.24 | — | — | — | |||||||
| United Airlines Holdings Inc. | 4.65 | 3.97 | 3.40 | 3.34 | 3.02 | 2.91 | 3.09 | 2.92 | 2.44 | 1.59 | 0.40 | 0.06 | -0.56 | -0.62 | -1.71 | -4.00 | -6.18 | -7.89 | — | — | — | |||||||
| United Parcel Service Inc. | 9.32 | 9.59 | 9.74 | 9.29 | 10.58 | 11.92 | 15.44 | 18.59 | 20.44 | 22.06 | 21.60 | 21.21 | 20.95 | 24.91 | 12.99 | 12.33 | 10.56 | 3.63 | — | — | — | |||||||
Based on: 10-Q (reporting date: 2025-03-31), 10-K (reporting date: 2024-12-31), 10-Q (reporting date: 2024-09-30), 10-Q (reporting date: 2024-06-30), 10-Q (reporting date: 2024-03-31), 10-K (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31).
1 Q1 2025 Calculation
Interest coverage
= (EBITQ1 2025
+ EBITQ4 2024
+ EBITQ3 2024
+ EBITQ2 2024)
÷ (Interest expenseQ1 2025
+ Interest expenseQ4 2024
+ Interest expenseQ3 2024
+ Interest expenseQ2 2024)
= (2,449 + 2,593 + 2,503 + 2,503)
÷ (322 + 312 + 314 + 319)
= 7.93
2 Click competitor name to see calculations.
- Earnings before interest and tax (EBIT)
- The EBIT displays a fluctuating but generally stable pattern over the observed periods. Starting at 2,196 million US dollars in March 2020, it experiences a decline in mid-2020, reaching a low point of 1,785 million in June 2020. Subsequently, EBIT generally recovers and exhibits variability within a relatively narrow range, peaking at 2,757 million in September 2022 before slightly decreasing towards the end of 2023. From early 2024 onward, EBIT stabilizes around 2,500 million, showing minor fluctuations but no strong upward or downward trend through March 2025.
- Interest expense
- Interest expenses demonstrate a gradual increasing trend over the period. Beginning at 278 million US dollars in March 2020, the expense increases incrementally over time, reaching around 336-339 million in 2023. After this peak period, interest expense shows a minimal decline but remains above 310 million, ending at 322 million in March 2025. This trend suggests steady incremental borrowing costs or debt levels.
- Interest coverage ratio
- The interest coverage ratio, representing EBIT divided by interest expense, shows robustness and relative stability. Initial values are missing for early 2020 but begin at 7.12 in September 2020. The ratio improves steadily over the following periods, peaking at 8.53 in September 2021. After peaking, the ratio trends downward gradually through 2023 and early 2024, settling around 7.93 by March 2025. Overall, the coverage remains comfortably above 7.0, indicating that EBIT provides ample coverage over interest expenses throughout the period.