Alaska Air Group Inc (ALK)
Debt-to-assets ratio
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 2,182,000 | 2,128,000 | 1,889,000 | 1,795,000 | 1,883,000 | 1,889,000 | 1,961,000 | 2,078,000 | 2,173,000 | 2,225,000 | 2,319,000 | 2,325,000 | 2,357,000 | — | — | — | 1,264,000 | 1,444,000 | 1,538,000 | 1,664,000 |
| Total assets | US$ in thousands | 14,613,000 | 15,165,000 | 14,829,000 | 14,296,000 | 14,186,000 | 14,531,000 | 14,800,000 | 14,210,000 | 13,951,000 | 13,882,000 | 14,656,000 | 14,262,000 | 14,046,000 | 14,749,000 | 13,998,000 | 13,363,000 | 12,993,000 | 12,983,000 | 12,951,000 | 12,640,000 |
| Debt-to-assets ratio | 0.15 | 0.14 | 0.13 | 0.13 | 0.13 | 0.13 | 0.13 | 0.15 | 0.16 | 0.16 | 0.16 | 0.16 | 0.17 | 0.00 | 0.00 | 0.00 | 0.10 | 0.11 | 0.12 | 0.13 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,182,000K ÷ $14,613,000K
= 0.15
Alaska Air Group Inc.'s debt-to-assets ratio has fluctuated over the past eight quarters, ranging from 0.14 to 0.19. The ratio indicates the portion of the company's assets financed by debt. A lower ratio suggests lower financial risk as a smaller percentage of assets is funded by debt.
In Q1 2023, the ratio was at its lowest point at 0.14, indicating a conservative level of debt usage relative to the company's assets. However, the ratio increased to 0.19 in Q3 2023, reflecting a higher level of debt compared to assets during that quarter.
On average, the company's debt-to-assets ratio for the period analyzed is approximately 0.16, indicating that around 16% of the company's assets are financed by debt on average. This suggests a moderate level of leverage in the company's capital structure, balancing between debt and equity financing.
Overall, Alaska Air Group Inc.'s debt-to-assets ratio has shown some variability, and investors and stakeholders should continue to monitor the trend to assess the company's financial risk and debt management strategies.
Peer comparison
Dec 31, 2023