Topbuild Corp (BLD)
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 | 1,327,160 | 1,373,030 | 1,417,260 | 1,454,480 | 683,396 |
| Total assets | US$ in thousands | 4,735,430 | 5,162,850 | 4,606,830 | 4,258,530 | 2,815,280 |
| Debt-to-assets ratio | 0.28 | 0.27 | 0.31 | 0.34 | 0.24 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,327,160K ÷ $4,735,430K
= 0.28
The debt-to-assets ratio for Topbuild Corp has shown some fluctuations over the years, starting at 0.24 on December 31, 2020, increasing to 0.34 by December 31, 2021, then decreasing to 0.31 by the end of 2022. Subsequently, the ratio decreased further to 0.27 by December 31, 2023, and slightly rose to 0.28 on December 31, 2024.
The trend indicates that the company's level of debt relative to its total assets has been somewhat unstable but generally within a moderate range. A lower ratio typically suggests less financial risk, as a higher proportion of assets is financed by equity rather than debt. However, it is essential to consider industry norms and the company's specific circumstances when evaluating the significance of these ratios.