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.
Peer comparison
Dec 31, 2023