MaxLinear Inc (MXL)
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 | 122,996 | 122,375 | 121,757 | 306,153 | 363,592 |
| Total assets | US$ in thousands | 864,639 | 1,080,260 | 1,180,020 | 1,050,380 | 1,022,440 |
| Debt-to-assets ratio | 0.14 | 0.11 | 0.10 | 0.29 | 0.36 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $122,996K ÷ $864,639K
= 0.14
The debt-to-assets ratio of MaxLinear Inc has shown a decreasing trend over the years, indicating a lower reliance on debt financing relative to total assets. As of December 31, 2020, the ratio was at 0.36, signifying that 36% of the company's assets were financed by debt. By December 31, 2021, the ratio had decreased to 0.29, indicating a further reduction in debt financing to 29% of total assets.
The trend continued with significant decreases in the subsequent years, reaching 0.10 by December 31, 2022, 0.11 by December 31, 2023, and 0.14 by December 31, 2024. This decreasing trend suggests that MaxLinear Inc is managing its debt levels prudently and potentially improving its financial stability by relying more on equity financing than on borrowed funds. Overall, the decreasing debt-to-assets ratio reflects positively on the company's financial health and its ability to support its operations with a lower level of debt.
Peer comparison
Dec 31, 2024