Nabors Industries Ltd (NBR)
Debt-to-assets ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 2,511,520 | 2,501,340 | 2,503,250 | 2,562,330 | 2,537,540 | 2,585,520 | 2,601,510 | 2,610,090 | 3,262,800 | 3,075,520 | 2,823,120 | 2,898,880 | 2,968,700 | 3,290,300 | 3,276,100 | 3,388,010 | 3,333,220 | 3,516,590 | 3,550,580 | 3,677,580 |
| Total assets | US$ in thousands | 5,277,960 | 4,726,850 | 4,463,270 | 4,699,980 | 4,729,850 | 4,768,560 | 4,800,980 | 4,857,170 | 5,525,360 | 5,174,830 | 5,042,320 | 5,254,910 | 5,503,430 | 5,817,310 | 5,982,420 | 6,308,550 | 6,760,660 | 7,273,500 | 7,514,500 | 7,773,680 |
| Debt-to-assets ratio | 0.48 | 0.53 | 0.56 | 0.55 | 0.54 | 0.54 | 0.54 | 0.54 | 0.59 | 0.59 | 0.56 | 0.55 | 0.54 | 0.57 | 0.55 | 0.54 | 0.49 | 0.48 | 0.47 | 0.47 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,511,520K ÷ $5,277,960K
= 0.48
The debt-to-assets ratio of Nabors Industries Ltd has shown some fluctuation over the past eight quarters, ranging from 0.53 to 0.60. This ratio indicates the proportion of the company's assets that are financed through debt.
Overall, the trend indicates that the company has been maintaining a relatively stable level of debt relative to its total assets. The increase from Q3 2023 to Q4 2023 may suggest a slight shift towards higher debt utilization, potentially signaling a strategic decision to leverage more debt in its capital structure.
On the other hand, the consistency of the ratio around 0.54 to 0.56 throughout most of the quarters indicates a reasonable balance between debt and assets. This could indicate a prudent approach to managing leverage and financial risk, as the company is not overly reliant on debt financing.
Further analysis and comparison with industry benchmarks and peer companies would provide a more comprehensive understanding of Nabors Industries Ltd's debt management strategy and financial health.
Peer comparison
Dec 31, 2023