American Electric Power Co Inc (AEP)

Debt-to-assets ratio

		Dec 31, 2024	Sep 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	Dec 31, 2019
Long-term debt	US$ in thousands	39,307,800	39,147,700	38,637,300	37,652,700	36,715,500	36,762,000	36,239,100	34,314,600	33,646,600	32,982,700	30,855,700	31,300,700	32,056,500	30,659,300	30,214,800	28,986,400	28,155,500	26,637,700	25,783,000	25,126,800
Total assets	US$ in thousands	103,078,000	100,119,000	97,744,600	96,684,000	95,125,600	96,002,100	94,517,900	93,403,300	91,249,400	90,861,300	89,831,400	87,668,700	86,337,100	84,358,200	82,985,100	80,757,200	78,689,300	77,804,800	77,724,000	75,892,300
Debt-to-assets ratio		0.38	0.39	0.40	0.39	0.39	0.38	0.38	0.37	0.37	0.36	0.34	0.36	0.37	0.36	0.36	0.36	0.36	0.34	0.33	0.33

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $39,307,800K ÷ $103,078,000K
= 0.38

The debt-to-assets ratio for American Electric Power Co Inc has been relatively stable over the period from December 31, 2019, to December 31, 2024. Starting at 0.33 on December 31, 2019, the ratio gradually increased to 0.40 on March 31, 2024, before declining slightly to 0.38 by December 31, 2024. This indicates that the company's level of debt in relation to its total assets has been within a range of 0.33 to 0.40 during this period, with a slight uptrend in recent quarters.

Overall, the debt-to-assets ratio suggests that American Electric Power Co Inc has been managing its debt levels prudently, maintaining a balance between leverage and asset utilization. A stable or slightly increasing ratio may indicate that the company is using debt financing effectively to support its operations and investments, while also remaining mindful of the need to preserve its financial health and solvency.