IAC Inc. (IAC)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,993,150 | 2,019,760 | 2,046,240 | 712,277 |
| Total assets | US$ in thousands | 10,371,200 | 10,393,600 | 12,302,600 | 9,161,710 |
| Debt-to-assets ratio | 0.19 | 0.19 | 0.17 | 0.08 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,993,150K ÷ $10,371,200K
= 0.19
The debt-to-assets ratio of IAC Inc. has shown a consistent upward trend over the past four years, increasing from 0.08 in 2020 to 0.19 in both 2022 and 2023. This indicates that the proportion of the company's assets financed by debt has been increasing steadily.
In 2021, the debt-to-assets ratio was slightly lower at 0.17, which suggests that the company had relatively lower reliance on debt financing compared to the following years.
It is important to note that a higher debt-to-assets ratio can indicate a higher level of financial risk for the company, as it implies a larger proportion of assets are funded by debt, which can lead to higher interest costs and debt repayment obligations.
Further analysis and consideration of other financial metrics and industry benchmarks would be required to fully assess the implications of the increasing debt-to-assets ratio for IAC Inc.
Peer comparison
Dec 31, 2023