First Solar Inc (FSLR)

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	464,068	464,040	437,410	320,378	184,349	254,224	170,017	247,354	236,005	241,483	276,084	254,447	237,691	—	—	—	454,187	—	—	—
Total assets	US$ in thousands	10,365,100	9,582,640	8,997,170	8,564,600	8,251,230	7,492,820	7,419,370	7,399,220	7,413,750	7,268,630	7,248,470	7,108,910	7,108,930	6,985,220	7,072,620	6,949,140	7,515,690	7,054,690	7,137,810	7,256,930
Debt-to-assets ratio		0.04	0.05	0.05	0.04	0.02	0.03	0.02	0.03	0.03	0.03	0.04	0.04	0.03	0.00	0.00	0.00	0.06	0.00	0.00	0.00

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $464,068K ÷ $10,365,100K
= 0.04

The debt-to-assets ratio of First Solar Inc has been relatively stable over the past eight quarters. The ratio has ranged from 0.02 to 0.05 during this period, indicating that the company maintains a conservative approach to debt management and has a low level of financial leverage. A ratio of 0.05 in Q4 2023 and Q3 2023 suggests that only 5% of the company's assets are financed through debt, while the majority of assets are funded through equity. This indicates a strong financial position and a lower risk of insolvency. Overall, the consistent low debt-to-assets ratio reflects First Solar Inc's prudent financial management and sustainable business operations.