Inter Parfums Inc (IPAR)

Debt-to-assets ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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	Jun 30, 2020	Mar 31, 2020
Long-term debt	US$ in thousands	115,734	134,585	108,482	115,926	127,897	128,983	138,565	145,128	151,494	107,942	117,354	125,164	132,902	126,636	133,244	9,173	10,136	19,384	18,858	9,781
Total assets	US$ in thousands	1,411,260	1,480,600	1,363,990	1,349,180	1,369,330	1,394,400	1,351,660	1,369,330	1,308,540	1,111,190	1,102,450	1,162,210	1,145,360	1,126,550	1,108,320	1,145,360	890,145	816,181	753,719	781,432
Debt-to-assets ratio		0.08	0.09	0.08	0.09	0.09	0.09	0.10	0.11	0.12	0.10	0.11	0.11	0.12	0.11	0.12	0.01	0.01	0.02	0.03	0.01

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $115,734K ÷ $1,411,260K
= 0.08

Inter Parfums Inc's debt-to-assets ratio has fluctuated over the past years, ranging between 0.01 to 0.12. The ratio indicates the proportion of the company's assets that are financed by debt. A lower ratio suggests that a smaller portion of the assets is funded by debt, which can be considered favorable as it implies lower financial risk and greater financial stability.

The trend shows that the company's debt-to-assets ratio remained relatively low in the initial years, indicating a conservative approach towards debt financing. However, there was a notable increase in the ratio in the middle years, reaching as high as 0.12, which may indicate an increase in debt levels relative to the assets.

In the later years, the ratio started to decline again, reflecting a potential effort to reduce debt levels or increase asset holdings. Overall, based on the data provided, Inter Parfums Inc seems to have maintained a generally reasonable level of debt relative to its assets, but it is essential for the company to continue monitoring and managing its debt levels effectively to ensure long-term financial health.