Nextracker Inc. Class A Common Stock (NXT)

Debt-to-assets ratio

		Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022
Long-term debt	US$ in thousands	143,967	144,762	145,557	147,289	147,147	—
Total assets	US$ in thousands	2,518,780	2,095,120	2,033,560	1,656,870	1,419,680	1,259,700
Debt-to-assets ratio		0.06	0.07	0.07	0.09	0.10	0.00

March 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $143,967K ÷ $2,518,780K
= 0.06

The debt-to-assets ratio of Nextracker Inc. Class A Common Stock has shown a consistent trend over the past six quarters. The ratio decreased from 0.10 in March 2023 to 0.06 in March 2024, indicating a reduction in the company's reliance on debt to finance its assets. This downward trend suggests that the company has been reducing its debt levels relative to its total assets, which can be a positive sign of financial health and stability. Additionally, the ratio has varied within a relatively narrow range of 0.06 to 0.10, with the exception of December 2022 when it dropped to 0.00, possibly due to a specific event or adjustment in the company's financial structure during that period. Overall, the decreasing trend in the debt-to-assets ratio reflects Nextracker Inc.'s efforts to manage its debt levels and maintain a healthy balance between debt and assets.