Advanced Energy Industries Inc (AEIS)
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 | 895,679 | 353,262 | 372,733 | 304,546 | 321,527 |
| Total assets | US$ in thousands | 2,556,760 | 1,992,170 | 1,817,340 | 1,647,660 | 1,532,410 |
| Debt-to-assets ratio | 0.35 | 0.18 | 0.21 | 0.18 | 0.21 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $895,679K ÷ $2,556,760K
= 0.35
The debt-to-assets ratio of Advanced Energy Industries Inc. has shown fluctuations over the past five years. In 2023, the ratio increased to 0.36 from 0.19 in 2022, indicating that the company has a higher proportion of debt relative to its assets compared to the previous year. This may suggest increased reliance on debt financing as a source of capital.
However, when comparing the 2023 ratio to the ratios in 2021, 2020, and 2019, it is clear that the company has historically maintained a higher debt-to-assets ratio in those years, with ratios of 0.22 or slightly above. This suggests that the current ratio of 0.36 in 2023 is still lower than some previous years, indicating that the company has managed its debt levels more conservatively in the past.
Overall, the trend in the debt-to-assets ratio for Advanced Energy Industries Inc. indicates a fluctuating but generally moderate level of debt relative to its total assets over the past five years. Investors and stakeholders may want to monitor future changes in this ratio to assess the company's ongoing debt management practices and financial stability.
Peer comparison
Dec 31, 2023