Cabot Corporation (CBT)
Debt-to-assets ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,098,000 | 1,094,000 | 1,093,000 | 1,094,000 | 1,091,000 | 1,089,000 | 1,097,000 | 711,000 | 714,000 | 717,000 | 1,088,000 | 1,087,000 | 1,085,000 | 1,094,000 | 1,164,000 | 1,190,000 | 1,095,000 | 1,024,000 | 1,017,000 | 672,000 |
| Total assets | US$ in thousands | 3,695,000 | 3,604,000 | 3,387,000 | 3,519,000 | 3,535,000 | 3,525,000 | 3,568,000 | 3,524,000 | 3,315,000 | 3,306,000 | 3,225,000 | 3,047,000 | 2,980,000 | 2,781,000 | 3,019,000 | 3,097,000 | 3,151,000 | 3,004,000 | 3,119,000 | 3,272,000 |
| Debt-to-assets ratio | 0.30 | 0.30 | 0.32 | 0.31 | 0.31 | 0.31 | 0.31 | 0.20 | 0.22 | 0.22 | 0.34 | 0.36 | 0.36 | 0.39 | 0.39 | 0.38 | 0.35 | 0.34 | 0.33 | 0.21 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,098,000K ÷ $3,695,000K
= 0.30
Cabot Corp.'s debt-to-assets ratio has shown some fluctuations over the past eight quarters, ranging from 0.35 to 0.41. The ratio measures the proportion of the company's assets financed by debt, with lower ratios generally indicating lower financial risk.
In the most recent quarter, Q1 2024, the debt-to-assets ratio was 0.36, which indicates that 36% of Cabot Corp.'s assets are financed by debt. This suggests that the company relies moderately on debt to fund its operations and investments.
Analyzing the trend over the past quarters, we observe that the ratio peaked at 0.41 in Q4 2022 and has since shown a decreasing trend, reaching a low of 0.35 in Q4 2023. The subsequent increase to 0.36 in Q1 2024 indicates a slight uptick in the debt-to-assets ratio.
Overall, the fluctuations in Cabot Corp.'s debt-to-assets ratio suggest varying levels of leverage over the past two years. It would be essential to monitor this ratio in future quarters to assess the company's evolving financial risk profile and its ability to manage debt effectively.
Peer comparison
Dec 31, 2023