Gen Digital Inc. (GEN)

Debt-to-assets ratio

		Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021	Mar 31, 2020
Long-term debt	US$ in thousands	8,429,000	9,529,000	2,736,000	3,288,000	3,465,000
Total assets	US$ in thousands	15,772,000	15,947,000	6,943,000	6,361,000	7,735,000
Debt-to-assets ratio		0.53	0.60	0.39	0.52	0.45

March 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $8,429,000K ÷ $15,772,000K
= 0.53

The debt-to-assets ratio of Gen Digital Inc. has exhibited fluctuations over the past five years, as follows:

- In 2024, the debt-to-assets ratio stood at 0.53, indicating that the company had $0.53 in debt for every $1 in assets. This suggests that more than half of the company's assets were funded by debt, which could be a cause for concern as it indicates a moderate level of leverage.

- In 2023, the ratio was higher at 0.60, signaling a further increase in leverage compared to the previous year. This may indicate a potential increase in financial risk as a higher proportion of the company's assets were financed by debt.

- However, in 2022, the ratio decreased to 0.39, reflecting a significant improvement in the company's debt-to-assets position. This suggests that the company relied less on debt financing and had a higher proportion of assets funded by equity, potentially lowering its financial risk.

- In 2021, the ratio was at 0.52, showing a slight increase compared to the previous year. This could indicate a reversal in the positive trend seen in 2022.

- Finally, in 2020, the debt-to-assets ratio was 0.45, which was lower than in 2021 but slightly higher than the 2022 position. This indicates that the company's debt relative to its assets was at a moderate level.

Overall, the trend in the debt-to-assets ratio of Gen Digital Inc. suggests varying levels of leverage over the past five years, with the company experiencing fluctuations in its debt funding of assets. This ratio is an important indicator of the company's financial health and risk management strategies and should be carefully monitored by stakeholders.