Harmony Biosciences Holdings (HRMY)

Debt-to-assets ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020
Long-term debt	US$ in thousands	178,566	182,131	180,487	185,063	189,647	189,725	189,807	189,896	189,984	190,069	195,610	194,913	194,250	192,858
Total assets	US$ in thousands	811,448	777,766	760,183	715,092	673,870	643,464	505,034	464,005	433,443	391,092	359,695	337,252	427,074	320,073
Debt-to-assets ratio		0.22	0.23	0.24	0.26	0.28	0.29	0.38	0.41	0.44	0.49	0.54	0.58	0.45	0.60

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $178,566K ÷ $811,448K
= 0.22

The debt-to-assets ratio of Harmony Biosciences Holdings Inc has been showing a decreasing trend over the past eight quarters, indicating improved financial health in terms of debt management. The ratio decreased from 0.41 in Q1 2022 to 0.24 in Q4 2023.

A lower debt-to-assets ratio suggests that the company relies less on debt financing to fund its operations and has a stronger ability to cover its financial obligations with its existing assets. This trend may indicate a more conservative approach to leverage or improved operational efficiency, leading to a better risk profile and financial stability for the company.

Overall, the decreasing trend in the debt-to-assets ratio for Harmony Biosciences Holdings Inc suggests a positive trajectory in managing its debt levels relative to its asset base.