Garmin Ltd (GRMN)
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 | — | — | — | — | — |
| Total assets | US$ in thousands | 8,603,570 | 7,731,170 | 7,854,430 | 7,031,370 | 6,166,800 |
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $8,603,570K
= 0.00
The debt-to-assets ratio for Garmin Ltd has consistently been 0.00 for the past five years, including at the latest data point of December 31, 2023. A debt-to-assets ratio of 0.00 indicates that the company has no debt in relation to its total assets. This suggests that Garmin Ltd is not relying on debt financing to support its operations and growth, and instead has been financing its assets primarily through equity or internally generated funds. A low or zero debt-to-assets ratio can indicate financial stability and lower financial risk as the company is not burdened by interest payments and debt obligations. However, it's important to note that having no debt may also limit the company's financial flexibility and ability to take advantage of potential growth opportunities that could be funded through debt financing. Overall, the consistent 0.00 debt-to-assets ratio for Garmin Ltd reflects its conservative financial structure and suggests a prudent approach to capital management.
Peer comparison
Dec 31, 2023