Hayward Holdings Inc (HAYW)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,098,440 | 1,109,700 | 995,000 |
| Total assets | US$ in thousands | 2,946,280 | 2,875,010 | 2,978,470 |
| Debt-to-assets ratio | 0.37 | 0.39 | 0.33 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,098,440K ÷ $2,946,280K
= 0.37
The debt-to-assets ratio for Hayward Holdings Inc has been relatively stable over the past three years, declining from 0.38 in 2022 to 0.33 in 2021 and then increasing slightly to 0.37 in 2023.
A debt-to-assets ratio of 0.37 in 2023 indicates that 37% of the company's assets are financed by debt, while the remaining 63% are financed by equity. This suggests that Hayward Holdings Inc relies more on equity financing rather than debt to fund its operations and investments.
The trend of the debt-to-assets ratio hovering around the 0.35 mark over the past three years indicates a balanced approach to capital structure management, where the company maintains a reasonable level of debt relative to its total assets. This indicates that the company is not overly leveraged and is managing its debt levels effectively.
Overall, based on the trend in the debt-to-assets ratio, Hayward Holdings Inc appears to have a conservative approach to debt financing, which may indicate lower financial risk and stability in its operations.
Peer comparison
Dec 31, 2023