Dropbox Inc (DBX)

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	1,377,800	1,376,900	1,375,900	1,375,000	1,374,000	1,373,100	1,372,200	1,371,200	1,370,300	1,369,300	1,368,400	1,367,400	0	—	—	—	—	—	—	—
Total assets	US$ in thousands	2,983,500	3,010,600	2,938,600	2,993,700	3,110,100	2,702,800	2,758,800	2,852,000	3,091,300	3,339,100	3,328,100	3,307,300	2,387,200	2,862,300	2,742,300	2,717,300	2,699,200	2,486,600	2,364,900	2,128,600
Debt-to-assets ratio		0.46	0.46	0.47	0.46	0.44	0.51	0.50	0.48	0.44	0.41	0.41	0.41	0.00	0.00	0.00	0.00	0.00	0.00	0.00	0.00

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,377,800K ÷ $2,983,500K
= 0.46

Dropbox Inc's debt-to-assets ratio has been relatively stable over the past eight quarters, ranging between 0.53 and 0.60. This ratio measures the proportion of the company's total debt compared to its total assets, indicating the level of financial leverage and risk. The gradual increase in the ratio from Q4 2022 to Q2 2023 suggests a slight rise in the company's debt relative to its assets. However, the ratio has since stabilized around 0.55-0.56, indicating a consistent capital structure in recent quarters. While this level of debt may indicate some degree of risk, it is important to consider the industry norms and overall financial health of the company in evaluating the significance of this ratio.