American States Water Company (AWR)

Debt-to-assets ratio

		Dec 31, 2024	Sep 30, 2024	Jun 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
Long-term debt	US$ in thousands	640,382	640,247	640,028	575,530	575,555	575,459	576,376	576,431	446,547	446,817	446,940	412,150	412,176	412,093	412,345	440,326	440,348	440,343	280,886	280,971
Total assets	US$ in thousands	2,500,210	2,420,620	2,348,320	2,292,900	2,246,120	2,205,230	2,139,640	2,060,370	2,034,370	1,982,580	1,949,650	1,913,930	1,900,980	1,874,800	1,842,360	1,792,820	1,791,600	1,726,420	1,697,970	1,660,890
Debt-to-assets ratio		0.26	0.26	0.27	0.25	0.26	0.26	0.27	0.28	0.22	0.23	0.23	0.22	0.22	0.22	0.22	0.25	0.25	0.26	0.17	0.17

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $640,382K ÷ $2,500,210K
= 0.26

The debt-to-assets ratio of American States Water Company has exhibited some fluctuations over the past years. The ratio has generally remained within the range of 0.17 to 0.28, with the latest reported ratio being 0.26 as of December 31, 2024. This indicates that for every dollar of assets owned by the company, approximately 26 cents are financed through debt.

The trend of the debt-to-assets ratio shows some variability, which could be attributed to changes in the company's borrowing activities or asset base. It is notable that the ratio has not exceeded 0.28, suggesting that American States Water Company has maintained a relatively conservative level of debt in relation to its total assets.

Analyzing the debt-to-assets ratio provides insight into the company's leverage position and financial risk. A lower ratio generally indicates a more conservative financial structure, while a higher ratio may imply increased financial leverage and risk. Monitoring changes in this ratio over time can help assess the company's ability to meet its debt obligations and manage its financial health effectively.