Insulet Corporation (PODD)
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 | — | 1,374,300 | 1,248,800 | 1,043,700 | 887,900 |
| Total assets | US$ in thousands | 2,588,200 | 2,251,100 | 2,048,800 | 1,872,900 | 1,142,900 |
| Debt-to-assets ratio | 0.00 | 0.61 | 0.61 | 0.56 | 0.78 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $2,588,200K
= 0.00
The debt-to-assets ratio for Insulet Corporation has shown a declining trend over the past five years, decreasing from 0.78 in 2019 to 0.55 in 2023. This indicates that the company is relying less on debt financing relative to its total assets.
A debt-to-assets ratio of 0.55 in 2023 suggests that 55% of Insulet Corporation's assets are financed by debt, while the remaining 45% are funded by equity. This indicates a moderate level of leverage, which may be considered favorable by investors and creditors as it demonstrates a relatively lower level of financial risk.
A comparison of the debt-to-assets ratios over the five-year period reveals potential improvements in the company's financial health, as the decreasing trend indicates a more conservative approach to leveraging its assets. This trend could signify better financial management, decreased financial risk, and enhanced profitability potential for Insulet Corporation.
Peer comparison
Dec 31, 2023