International Business Machines (IBM)
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 | 49,884,000 | 50,121,000 | 46,189,000 | 44,917,000 | 54,217,000 |
| Total assets | US$ in thousands | 137,175,000 | 135,241,000 | 127,243,000 | 132,001,000 | 155,971,000 |
| Debt-to-assets ratio | 0.36 | 0.37 | 0.36 | 0.34 | 0.35 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $49,884,000K ÷ $137,175,000K
= 0.36
Based on the data provided, International Business Machines' debt-to-assets ratio has shown a relatively stable trend over the past five years. As of December 31, 2020, the ratio stood at 0.35, indicating that 35% of the company's assets were financed by debt.
Subsequently, the ratio decreased slightly to 0.34 by the end of 2021 before slightly increasing to 0.36 in both 2022 and 2024. The highest ratio was recorded on December 31, 2023, at 0.37.
Overall, the company has maintained a healthy balance between debt and assets, with the ratio hovering around the mid-30% range, suggesting that IBM relies more on equity financing rather than debt to support its operations and growth initiatives.
Peer comparison
Dec 31, 2024