Materion Corporation (MTRN)
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 | 407,734 | 387,576 | 410,876 | 434,388 | 36,542 |
| Total assets | US$ in thousands | 1,697,630 | 1,762,730 | 1,691,980 | 1,607,480 | 1,057,860 |
| Debt-to-assets ratio | 0.24 | 0.22 | 0.24 | 0.27 | 0.03 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $407,734K ÷ $1,697,630K
= 0.24
The debt-to-assets ratio of Materion Corporation has shown a fluctuating trend over the years, indicating varying levels of debt relative to its total assets. The ratio was relatively low at 0.03 as of December 31, 2020, suggesting a conservative debt position. However, there was a notable increase in the ratio to 0.27 by December 31, 2021, which could indicate a significant increase in the company's debt levels compared to its asset base.
Subsequently, the ratio decreased to 0.24 by the end of December 31, 2022 and maintained a similar level at 0.22 by December 31, 2023, implying a potential effort to reduce debt or increase assets during these periods. However, by the end of December 31, 2024, the ratio rose back to 0.24, indicating a slight increase in the proportion of debt relative to total assets.
Overall, the fluctuation in Materion Corporation's debt-to-assets ratio suggests varying degrees of leverage and financial risk management by the company during the period under review. It would be advisable for stakeholders to closely monitor this ratio to assess the company's financial health and sustainability in managing its debt obligations relative to its asset base.