Digi International Inc (DGII)

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	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	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	398,698	385,246	383,535
Debt-to-assets ratio		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	0.00	0.00	0.00

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $194,684K ÷ $828,662K
= 0.23

The debt-to-assets ratio of Digi International, Inc. has been fluctuating over the past eight quarters. It has ranged from a low of 0.23 in Q1 2024 to a high of 0.32 in Q2 2022. The ratio measures the proportion of the company's assets that are financed by debt, with higher ratios indicating higher financial leverage.

The trend over the past two years shows a generally increasing pattern, suggesting an increase in the company's reliance on debt to finance its assets. This could be a cause for concern as higher debt levels can lead to increased financial risk, especially if the company struggles to service its debt obligations in the future.

It is important for investors and creditors to closely monitor this ratio, as it provides insights into the financial health and risk profile of the company. Further analysis of the company's overall financial performance and ability to generate sufficient cash flows to cover its debt obligations would be required to fully assess the implications of the changing debt-to-assets ratio.