Fortive Corp (FTV)
Debt-to-assets ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 3,331,100 | 3,646,200 | 2,251,600 | 1,807,300 | 2,830,300 |
| Total assets | US$ in thousands | 17,016,100 | 16,911,800 | 15,890,600 | 16,465,500 | 16,051,500 |
| Debt-to-assets ratio | 0.20 | 0.22 | 0.14 | 0.11 | 0.18 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $3,331,100K ÷ $17,016,100K
= 0.20
The debt-to-assets ratio for Fortive Corp has shown fluctuations over the past five years. As of December 31, 2020, the ratio stood at 0.18, indicating that 18% of the company's assets were financed through debt. Subsequently, the ratio decreased to 0.11 by December 31, 2021, suggesting a lower reliance on debt for asset financing. However, by December 31, 2022, the ratio increased to 0.14, signifying a slight uptick in debt relative to assets.
The ratio experienced a more significant increase by December 31, 2023, reaching 0.22. This jump may indicate a higher proportion of debt used to fund assets during that period. Finally, by December 31, 2024, the ratio decreased to 0.20, showing a slight reduction in the reliance on debt compared to the previous year.
In summary, Fortive Corp's debt-to-assets ratio has displayed variability over the analyzed period, with some fluctuations reflecting changes in the company's debt and asset composition. The management may need to monitor this ratio closely to ensure a balanced capital structure and sustainable financial health.
Peer comparison
Dec 31, 2024