Digi International Inc (DGII)

Debt-to-assets ratio

		Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Long-term debt	US$ in thousands	123,185	151,618	171,751	194,684	188,051	194,556	214,062	218,568	222,448	240,702	260,208	275,340	45,799	45,670	45,541	43,483	58,980	74,477	104,973	105,470
Total assets	US$ in thousands	815,075	820,426	825,300	828,662	835,531	840,060	847,748	854,610	853,895	863,639	869,530	866,230	619,531	613,051	607,503	528,788	528,682	526,869	554,752	560,904
Debt-to-assets ratio		0.15	0.18	0.21	0.23	0.23	0.23	0.25	0.26	0.26	0.28	0.30	0.32	0.07	0.07	0.07	0.08	0.11	0.14	0.19	0.19

September 30, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $123,185K ÷ $815,075K
= 0.15

The debt-to-assets ratio of Digi International Inc has shown fluctuations over the past few periods. The ratio has ranged from as low as 0.07 to as high as 0.32. A lower ratio indicates that the company has less debt relative to its total assets, suggesting a lower financial risk and greater financial stability. On the other hand, a higher ratio implies a higher proportion of debt in relation to assets, which may indicate increased financial risk and dependence on borrowed funds.

From the data provided, we can observe that the debt-to-assets ratio has generally been increasing over the periods, indicating a higher level of debt relative to assets. This trend suggests that the company may be taking on more debt to finance its operations or growth initiatives. It is important to closely monitor this trend to assess the company's ability to manage its debt levels effectively and sustain its financial health in the long term.