Arrow Electronics Inc (ARW)
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 | 2,773,780 | 2,153,550 | 3,182,960 | 2,244,440 | 2,097,940 |
| Total assets | US$ in thousands | 21,757,700 | 21,726,200 | 21,763,200 | 19,535,500 | 17,053,900 |
| Debt-to-assets ratio | 0.13 | 0.10 | 0.15 | 0.11 | 0.12 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,773,780K ÷ $21,757,700K
= 0.13
Arrow Electronics Inc's debt-to-assets ratio has shown some fluctuation over the past five years. As of December 31, 2020, the ratio stood at 0.12, indicating that 12% of the company's assets were financed by debt. The ratio decreased slightly to 0.11 by December 31, 2021, suggesting a more conservative financing structure.
However, by December 31, 2022, the debt-to-assets ratio increased to 0.15, signaling that 15% of Arrow Electronics Inc's assets were funded by debt. This may indicate a higher reliance on debt financing during that period.
Subsequently, the ratio declined to 0.10 by December 31, 2023, reflecting a lower proportion of debt in the company's capital structure. Finally, by December 31, 2024, the ratio rose to 0.13, indicating a slight increase in debt relative to assets.
Overall, the trend in Arrow Electronics Inc's debt-to-assets ratio suggests varying levels of leverage over the analyzed period. It is essential for stakeholders to monitor this ratio to assess the company's financial risk and solvency position effectively.
Peer comparison
Dec 31, 2024