Patrick Industries Inc (PATK)

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	1,018,360	1,104,620	1,215,880	1,332,160	1,276,150	1,333,460	1,474,740	1,489,810	1,278,990	1,077,660	1,076,950	785,849	810,907	673,852	673,138	672,235	670,354	670,928	569,844	613,599
Total assets	US$ in thousands	2,562,450	2,655,940	2,707,030	2,816,830	2,782,470	2,896,650	3,024,830	2,971,380	2,650,730	2,358,460	2,224,710	1,834,880	1,753,440	1,574,940	1,492,800	1,522,160	1,470,990	1,451,130	1,330,910	1,355,180
Debt-to-assets ratio		0.40	0.42	0.45	0.47	0.46	0.46	0.49	0.50	0.48	0.46	0.48	0.43	0.46	0.43	0.45	0.44	0.46	0.46	0.43	0.45

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,018,360K ÷ $2,562,450K
= 0.40

The debt-to-assets ratio of Patrick Industries, Inc. has been gradually decreasing over the past eight quarters, signaling a positive trend in the company's debt management. The ratio has decreased from 0.50 in Q1 2022 to 0.40 in Q4 2023.

A decreasing debt-to-assets ratio indicates that the company is becoming less reliant on debt to finance its assets, which is typically viewed positively by investors and creditors. This trend suggests that the company may be effectively managing its debt levels or increasing its asset base without significantly increasing its debt.

Overall, the decreasing trend in Patrick Industries, Inc.'s debt-to-assets ratio reflects a strengthening financial position in terms of debt management and potential lower financial risk.