Marathon Digital Holdings Inc (MARA)
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 | 325,654 | 782,171 | 728,406 | 63 | 999 |
| Total assets | US$ in thousands | 1,990,970 | 1,195,240 | 1,444,330 | 313,251 | 6,620 |
| Debt-to-assets ratio | 0.16 | 0.65 | 0.50 | 0.00 | 0.15 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $325,654K ÷ $1,990,970K
= 0.16
The debt-to-assets ratio of Marathon Digital Holdings Inc has exhibited fluctuations over the past five years. As of December 31, 2023, the ratio stands at 0.16, indicating that for every dollar of assets, the company has $0.16 in debt. This suggests a relatively conservative debt management approach, with a low proportion of debt relative to its total assets.
Comparing this to previous years, we observe a significant decrease from 0.65 in 2022, and a notable reduction from 0.50 in 2021. The sharp decline in the debt-to-assets ratio from 2022 to 2023 implies that the company has actively reduced its debt levels or increased its asset base.
Notably, in 2020, the debt-to-assets ratio was at 0.00, implying that the company had no debt obligations relative to its assets. This could be indicative of a strong financial position with minimal debt-related risks. In 2019, the ratio was at 0.15, indicating a modest increase in debt compared to the most recent data.
Overall, the downward trend in the debt-to-assets ratio from 2022 to 2023 suggests positive efforts by Marathon Digital Holdings Inc to strengthen its financial standing by reducing debt levels, enhancing its financial flexibility, and potentially improving its creditworthiness.
Peer comparison
Dec 31, 2023