Newmont Goldcorp Corp (NEM)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 6,951,000 | 5,571,000 | 5,565,000 | 5,480,000 | 6,138,000 |
| Total assets | US$ in thousands | 55,506,000 | 38,482,000 | 40,564,000 | 41,369,000 | 39,974,000 |
| Debt-to-assets ratio | 0.13 | 0.14 | 0.14 | 0.13 | 0.15 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $6,951,000K ÷ $55,506,000K
= 0.13
The debt-to-assets ratio for Newmont Corp has remained relatively stable over the past five years, ranging from 0.16 to 0.17. This indicates that, on average, the company finances approximately 16% to 17% of its total assets through debt.
A debt-to-assets ratio of 0.17 in 2023 suggests a slight increase compared to the previous year, which was at 0.16. This could indicate a slightly higher reliance on debt financing relative to total assets. However, the overall trend over the five-year period shows a consistent and moderate level of debt utilization in relation to the company's asset base.
It is important to note that a lower debt-to-assets ratio generally signifies lower financial risk and greater financial stability, as it implies that a smaller portion of the company's assets are funded by debt. However, the specific implications of the debt-to-assets ratio depend on the industry norms and the company's operational and financial strategies. Further analysis of other financial metrics and comparison with industry peers would provide a more comprehensive understanding of Newmont Corp's overall financial health.