FormFactor Inc (FORM)

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	13,314	14,389	15,434	24,978	15,639
Total assets	US$ in thousands	1,106,790	1,008,230	1,020,520	963,217	839,882
Debt-to-assets ratio		0.01	0.01	0.02	0.03	0.02

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $13,314K ÷ $1,106,790K
= 0.01

FormFactor Inc's debt-to-assets ratio has shown a consistent downward trend over the past five years, decreasing from 0.02 in 2021 to 0.01 in both 2022 and 2023. This indicates that the company's level of debt relative to its total assets has been decreasing, suggesting a stronger financial position and lower financial risk in recent years. The decreasing trend in the debt-to-assets ratio reflects a lower reliance on debt financing and a stronger ability to cover its obligations with its available assets. It also indicates that FormFactor Inc has been effectively managing its debt levels and maintaining a healthy balance sheet structure. Overall, the declining debt-to-assets ratio is a positive indicator of the company's financial health and risk management practices.