Badger Meter Inc (BMI)
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 | — | — | — | — | — |
| Total assets | US$ in thousands | 716,919 | 603,047 | 530,818 | 471,217 | 421,893 |
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $716,919K
= 0.00
The debt-to-assets ratio for Badger Meter Inc. has been consistently low over the past five years, with the ratio being close to zero in each year except for a slight increase to 0.01 in 2019. This indicates that the company has minimal debt relative to its total assets, suggesting a conservative approach to financing its operations.
A low debt-to-assets ratio is generally viewed positively by investors and creditors as it signifies a lower financial risk and greater stability for the company. It also indicates that Badger Meter Inc. relies more on equity financing rather than debt financing to support its operations and investments.
Overall, based on the trend of the debt-to-assets ratio, it can be inferred that Badger Meter Inc. has maintained a strong financial position with a sound capital structure and prudent debt management practices over the years.
Peer comparison
Dec 31, 2023