Middlesex Water Company (MSEX)

Debt-to-assets ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Long-term debt	US$ in thousands	352,822	358,153	290,280	290,280	273,244
Total assets	US$ in thousands	1,255,170	1,236,050	1,074,450	1,020,020	976,470
Debt-to-assets ratio		0.28	0.29	0.27	0.28	0.28

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $352,822K ÷ $1,255,170K
= 0.28

The debt-to-assets ratio for Middlesex Water Company has been relatively stable over the past five years, ranging from 0.27 to 0.29. This indicates that, on average, approximately 28% of the company's assets are financed by debt. The consistency in this ratio suggests that Middlesex Water Company has been maintaining a prudent balance between debt and assets in its capital structure. It is important to note that a lower debt-to-assets ratio generally signifies a lower financial risk, as it implies that the company relies less on debt to fund its operations and investments. Overall, Middlesex Water Company's consistent and moderate debt-to-assets ratio reflects a financially healthy position.