LivaNova PLC (LIVN)

Debt-to-assets ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Long-term debt	US$ in thousands	568,543	568,163	567,951	520,201	518,067	518,249	459,792	455,810	9,849	10,797	431,033	646,369	642,298	637,109	639,189	315,561	260,330	272,887	174,376	141,850
Total assets	US$ in thousands	2,429,560	2,329,420	2,341,560	2,294,890	2,294,770	2,212,880	2,336,240	2,416,880	2,200,950	2,203,410	2,396,520	2,369,170	2,399,960	2,521,750	2,502,660	2,454,440	2,411,800	2,509,940	2,621,660	2,599,540
Debt-to-assets ratio		0.23	0.24	0.24	0.23	0.23	0.23	0.20	0.19	0.00	0.00	0.18	0.27	0.27	0.25	0.26	0.13	0.11	0.11	0.07	0.05

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $568,543K ÷ $2,429,560K
= 0.23

The debt-to-assets ratio of LivaNova PLC has remained relatively stable over the past eight quarters, ranging from 0.19 to 0.25. This ratio indicates the proportion of the company's assets that are financed through debt. A lower ratio suggests a lower financial risk as the company relies less on debt for funding its operations and investments.

LivaNova PLC's debt-to-assets ratio fluctuated within a narrow range between 0.19 and 0.25, which suggests a consistent approach to managing its capital structure. The ratio of 0.24 in Q4 2023 indicates that 24% of the company's assets are financed by debt, while the remaining 76% is funded by equity. This level of debt utilization seems moderate and indicates a balanced mix of debt and equity financing.

Overall, LivaNova PLC has maintained a prudent level of debt relative to its assets, which can be seen as a positive sign of financial stability and sustainability. This consistent performance in managing the debt-to-assets ratio reflects the company's ability to maintain a healthy balance between debt and equity in its capital structure.