DXP Enterprises Inc (DXPE)
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 | 520,697 | 408,105 | 408,430 | 408,755 | 409,205 | 313,739 | 314,663 | 315,030 | 315,397 | 315,920 | 316,343 | 316,741 | 317,139 | 209,813 | 220,107 | 235,263 | 235,419 | 235,576 | 236,202 | 236,591 |
| Total assets | US$ in thousands | 1,177,440 | 1,045,100 | 1,034,430 | 1,053,160 | 1,037,280 | 996,075 | 984,024 | 902,315 | 894,227 | 912,957 | 901,580 | 911,517 | 868,131 | 736,718 | 783,130 | 791,691 | 788,220 | 791,554 | 786,607 | 775,207 |
| Debt-to-assets ratio | 0.44 | 0.39 | 0.39 | 0.39 | 0.39 | 0.31 | 0.32 | 0.35 | 0.35 | 0.35 | 0.35 | 0.35 | 0.37 | 0.28 | 0.28 | 0.30 | 0.30 | 0.30 | 0.30 | 0.31 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $520,697K ÷ $1,177,440K
= 0.44
The debt-to-assets ratio of DXP Enterprises Inc has been relatively stable over the past five quarters, ranging between 0.39 and 0.44. This ratio indicates that, on average, the company has financed 35% to 44% of its assets with debt during this period. The slight increase in the ratio from 0.31 in September 2022 to 0.44 in December 2023 may suggest a higher reliance on debt as a source of funding in the latest period.
Overall, the trend in the debt-to-assets ratio shows that DXP Enterprises Inc maintains a moderate level of leverage, which can be considered manageable. Investors and creditors typically view a lower debt-to-assets ratio as a sign of lower financial risk and greater financial stability. However, it is essential to monitor changes in this ratio over time to assess the company's debt management strategy and financial health effectively.
Peer comparison
Dec 31, 2023