NiSource Inc (NI)

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 12,505,200 10,370,900 8,479,400 10,415,700 11,034,200
Total assets US$ in thousands 31,788,100 31,077,200 26,736,600 24,156,900 22,040,500
Debt-to-assets ratio 0.39 0.33 0.32 0.43 0.50

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $12,505,200K ÷ $31,788,100K
= 0.39

The debt-to-assets ratio for NiSource Inc has shown a declining trend over the past five years, indicating improved financial health and reduced reliance on debt. As of December 31, 2020, the ratio stood at 0.50, suggesting that 50% of the company's assets were financed by debt. By the end of December 31, 2024, the ratio had decreased to 0.39, indicating that only 39% of assets were funded by debt. This decline in the ratio signifies that NiSource Inc has been able to manage its debt levels effectively while potentially utilizing more equity to finance its assets. Overall, the decreasing trend in the debt-to-assets ratio reflects positively on the company's financial stability and risk management practices.