AAON Inc (AAON)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | 71,004 | 40,000 | 6,363 | 6,320 |
| Total assets | US$ in thousands | 941,436 | 813,903 | 650,180 | 449,008 | 371,424 |
| Debt-to-assets ratio | 0.00 | 0.09 | 0.06 | 0.01 | 0.02 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $941,436K
= 0.00
AAON Inc.'s debt-to-assets ratio has varied over the past five years, with the highest ratio recorded in 2022 at 0.09 and the lowest in 2020 and 2019 at 0.00. The ratio indicates the proportion of the company's assets financed by debt.
In 2023, the debt-to-assets ratio decreased to 0.05, which suggests the company relied less on debt financing to fund its assets compared to the previous year. This could signify a healthier financial position as the company reduced its dependency on debt.
However, in 2022, the higher ratio of 0.09 indicates a higher level of debt relative to its assets. This could point to increased financial leverage or potential risk due to higher debt levels.
The ratios for 2021, 2020, and 2019 were also relatively low at 0.06 and 0.00, indicating minimal or no debt financing used by the company during those years.
Overall, AAON Inc.'s debt-to-assets ratio fluctuated over the years, showing a mix of conservative and more leveraged financial strategies. Investors and stakeholders should continue to monitor this ratio to gauge the company's financing decisions and risk exposure.
Peer comparison
Dec 31, 2023