Amphastar P (AMPH)

Debt-to-assets ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Long-term debt	US$ in thousands	613,532	603,174	76,642	78,185	45,923
Total assets	US$ in thousands	1,577,470	1,512,910	741,987	671,529	631,236
Debt-to-assets ratio		0.39	0.40	0.10	0.12	0.07

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $613,532K ÷ $1,577,470K
= 0.39

The debt-to-assets ratio of Amphastar P has displayed fluctuations over the last five years.

As of December 31, 2020, the ratio stood at 0.07, indicating that only 7% of the company's assets were financed by debt. This suggests a conservative capital structure with a lower reliance on borrowing.

In the following year, by December 31, 2021, the ratio increased to 0.12, showcasing a slight rise in debt relative to the company's assets. While still relatively low, this uptick signals a potential shift towards slightly higher debt utilization.

By the end of 2022, the ratio declined to 0.10, indicating a decrease in debt financing compared to the previous year. This reduction could signify a strategic effort to manage debt levels and maintain a balanced capital structure.

However, by the end of 2023 and 2024, the ratio surged to 0.40 and 0.39, respectively. These significant spikes suggest a substantial increase in debt relative to the company's total assets. Such a sharp escalation may raise concerns about the company's financial leverage and its ability to meet debt obligations in the future.

Overall, the trend in Amphastar P's debt-to-assets ratio reflects fluctuations in the company's debt management strategies over the past five years, with a notable shift towards higher debt levels in the most recent years. It would be essential for stakeholders to closely monitor this ratio to assess the company's financial health and risk exposure.