Axalta Coating Systems Ltd (AXTA)
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 | 3,478,500 | 3,673,300 | — | — | — |
| Total assets | US$ in thousands | 7,272,100 | 7,059,200 | 7,217,200 | 7,157,200 | 6,818,000 |
| Debt-to-assets ratio | 0.48 | 0.52 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $3,478,500K ÷ $7,272,100K
= 0.48
The debt-to-assets ratio of Axalta Coating Systems Ltd has exhibited a declining trend over the past five years, decreasing from 0.56 in 2019 to 0.48 in 2023. This declining trend indicates that the company has been using less debt relative to its total assets over the years, which may suggest a reduced financial risk and improved financial health. A lower debt-to-assets ratio signifies that the company relies less on debt financing to support its operations and investments, potentially indicating a stronger ability to meet its financial obligations and withstand economic downturns. Overall, the decreasing trend in the debt-to-assets ratio for Axalta Coating Systems Ltd reflects a positive development in its financial structure and management of debt levels.
Peer comparison
Dec 31, 2023