Hanesbrands Inc (HBI)
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 | 3,235,640 | 3,612,080 | 3,326,090 | 3,739,430 | 3,256,870 |
| Total assets | US$ in thousands | 5,640,310 | 6,503,880 | 7,071,440 | 7,719,870 | 7,353,990 |
| Debt-to-assets ratio | 0.57 | 0.56 | 0.47 | 0.48 | 0.44 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $3,235,640K ÷ $5,640,310K
= 0.57
The debt-to-assets ratio of Hanesbrands Inc has shown a gradual increase over the last five years. From 2019 to 2023, the ratio has fluctuated between 0.44 and 0.57, indicating that the company's level of debt in relation to its total assets has been increasing overall.
In 2023, the debt-to-assets ratio stands at 0.57, signifying that 57% of the company's assets are financed by debt. This suggests a significant reliance on borrowed funds to support its operations and growth.
The upward trend in the debt-to-assets ratio may raise concerns about the company's financial leverage and ability to meet its debt obligations. Investors and creditors may monitor this ratio closely to assess the company's risk profile and financial health. Further analysis of the company's debt structure and overall financial performance would provide a more comprehensive understanding of its debt management strategy.