California Water Service Group (CWT)

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	1,052,770	1,052,490	1,055,790	781,100	786,754
Total assets	US$ in thousands	4,595,530	4,264,810	3,623,270	3,394,250	3,111,310
Debt-to-assets ratio		0.23	0.25	0.29	0.23	0.25

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,052,770K ÷ $4,595,530K
= 0.23

The debt-to-assets ratio for California Water Service Group has shown a downward trend over the past five years, decreasing from 0.32 in 2019 to 0.27 in 2023. This indicates that the company's reliance on debt to finance its operations relative to its asset base has been decreasing. A lower debt-to-assets ratio suggests that the company has less financial risk and is less leveraged, which can be seen as a positive indicator of financial health and stability. Overall, the declining trend in the debt-to-assets ratio for California Water Service Group indicates a stronger financial position and more conservative approach to debt management over the past five years.