ANI Pharmaceuticals Inc (ANIP)

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	284,819	285,669	286,520	172,443	175,808
Total assets	US$ in thousands	904,422	760,087	771,598	461,190	456,789
Debt-to-assets ratio		0.31	0.38	0.37	0.37	0.38

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $284,819K ÷ $904,422K
= 0.31

ANI Pharmaceuticals Inc's debt-to-assets ratio has shown a declining trend over the past five years, indicating improved financial health and lower financial risk. The ratio decreased from 0.41 in 2019 to 0.32 in 2023. This suggests that the company has been able to reduce its reliance on debt to finance its assets, which can be seen as a positive sign by creditors and investors. A lower debt-to-assets ratio indicates that a larger proportion of the company's assets are financed by equity rather than debt, potentially reducing interest expenses and enhancing the company's overall financial stability. The declining trend in the debt-to-assets ratio reflects ANI Pharmaceuticals Inc's effective management of its capital structure and financial leverage.