Chesapeake Utilities Corporation (CPK)

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 1,187,080 643,801 645,742 656,284 578,388 583,833 585,805 597,878 549,903 505,459 498,450 508,525 508,499 519,971 430,106 440,183 440,168 375,810 275,924 285,998
Total assets US$ in thousands 3,304,700 2,240,750 2,204,490 2,197,550 2,215,040 2,157,420 2,117,340 2,109,630 2,114,870 2,021,830 1,972,340 1,953,950 1,932,490 1,888,090 1,822,180 1,788,220 1,783,200 1,714,240 1,681,040 1,682,800
Debt-to-assets ratio 0.36 0.29 0.29 0.30 0.26 0.27 0.28 0.28 0.26 0.25 0.25 0.26 0.26 0.28 0.24 0.25 0.25 0.22 0.16 0.17

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,187,080K ÷ $3,304,700K
= 0.36

The debt-to-assets ratio of Chesapeake Utilities Corp has been relatively stable over the past eight quarters, ranging between 0.35 and 0.42. A decreasing trend is visible from Q4 2022 to Q1 2023, with the ratio consistently around 0.35 for the majority of this period.

The debt-to-assets ratio shows the proportion of the company's total debt compared to its total assets. A ratio of 0.35 to 0.42 indicates that, on average, Chesapeake Utilities Corp finances 35% to 42% of its assets through debt, while the remaining percentage is funded through equity or other sources.

A ratio of around 0.35 to 0.42 suggests that Chesapeake Utilities Corp has a moderate level of leverage, indicating that a significant portion of its assets are funded through debt. This level of leverage can be considered reasonable depending on the industry norms and the company's overall financial health.

It is essential for investors and creditors to monitor changes in the debt-to-assets ratio over time to assess the company's ability to meet its debt obligations and manage financial risk. Overall, the stable trend in Chesapeake Utilities Corp's debt-to-assets ratio implies a consistent approach to balancing debt and equity in its capital structure over the analyzed quarters.


Peer comparison

Dec 31, 2023

Company name
Symbol
Debt-to-assets ratio
Chesapeake Utilities Corporation
CPK
0.36
ONEOK Inc
OKE
0.48
Southwest Gas Holdings Inc
SWX
0.39