Merit Medical Systems Inc (MMSI)

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 729,551 750,505 801,321 800,136 823,013 282,370 335,232 186,423 186,759 205,412 235,703 243,112 234,397 271,181 284,900 312,875 343,722 349,813 402,915 438,137
Total assets US$ in thousands 2,418,600 2,378,080 2,371,840 2,326,350 2,325,240 1,808,500 1,837,570 1,684,110 1,663,970 1,632,740 1,631,520 1,629,740 1,648,290 1,643,170 1,642,390 1,651,720 1,664,400 1,670,510 1,715,870 1,749,270
Debt-to-assets ratio 0.30 0.32 0.34 0.34 0.35 0.16 0.18 0.11 0.11 0.13 0.14 0.15 0.14 0.17 0.17 0.19 0.21 0.21 0.23 0.25

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $729,551K ÷ $2,418,600K
= 0.30

The debt-to-assets ratio for Merit Medical Systems Inc has exhibited a declining trend from 0.25 as of March 31, 2020, to 0.30 as of December 31, 2024. The ratio measures the proportion of the company's assets that are financed by debt, indicating a company's leverage and ability to cover its debt obligations.

A decreasing debt-to-assets ratio generally signifies a healthier financial position, as it suggests the company is relying less on debt to finance its operations and investments. However, the sudden increase in the ratio from 0.11 as of March 31, 2023, to 0.35 as of December 31, 2023, followed by a relatively steady range between 0.30 and 0.11 until June 30, 2024, calls for a closer examination of the company's debt management practices and financial stability during that period.

Overall, monitoring the debt-to-assets ratio over time can provide insights into Merit Medical Systems Inc's financial leverage and risk exposure, guiding stakeholders in assessing the company's financial health and performance.