International Flavors & Fragrances Inc (IFF)

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	9,186,000	10,373,000	10,768,000	3,779,000	3,997,440
Total assets	US$ in thousands	30,978,000	35,522,000	39,658,000	13,555,000	13,287,400
Debt-to-assets ratio		0.30	0.29	0.27	0.28	0.30

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $9,186,000K ÷ $30,978,000K
= 0.30

The debt-to-assets ratio of International Flavors & Fragrances Inc. has shown some fluctuations over the past five years. In 2023, the ratio increased to 0.33 from 0.31 in 2022, indicating that the company's level of debt relative to its total assets has increased. Despite this uptick, the ratio remains within a relatively stable range, with values ranging from 0.29 to 0.33 since 2019.

A debt-to-assets ratio of 0.33 in 2023 means that approximately 33% of the company's assets are financed by debt. This suggests that International Flavors & Fragrances Inc. relies moderately on debt to fund its operations and investments, while a higher ratio might indicate a higher level of financial risk.

It is important to consider the trend in the debt-to-assets ratio over time along with the absolute values to assess the company's financial position and risk profile accurately. Further analysis of the company's overall debt structure, cash flow generation, and profitability is recommended to gain a more comprehensive understanding of its financial health and leverage.