Warrior Met Coal Inc (HCC)
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 | 153,612 | 153,023 | 302,588 | 339,806 | 379,908 |
| Total assets | US$ in thousands | 2,591,520 | 2,357,060 | 2,028,100 | 1,464,210 | 1,393,940 |
| Debt-to-assets ratio | 0.06 | 0.06 | 0.15 | 0.23 | 0.27 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $153,612K ÷ $2,591,520K
= 0.06
Based on the provided data, Warrior Met Coal Inc's debt-to-assets ratio has shown a decreasing trend over the five-year period from 2020 to 2024. The ratio decreased from 0.27 in 2020 to 0.06 in both 2023 and 2024.
A decreasing debt-to-assets ratio indicates that Warrior Met Coal Inc has been reducing its reliance on debt financing in relation to its total assets over the years. A lower ratio generally signifies a lower financial risk, as the company has a smaller proportion of debt relative to its total assets.
It is important to note that a decreasing debt-to-assets ratio does not necessarily imply that the company is in a better financial position overall, as it could also indicate slower asset growth or less aggressive expansion strategies. Further analysis of the company's financial statements and overall performance would provide more insights into the reasons behind the changes in the debt-to-assets ratio.
Peer comparison
Dec 31, 2024