Pool Corporation (POOL)

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	1,015,120	996,109	1,148,370	1,332,670	1,361,760	1,500,340	1,575,670	1,483,810	1,171,580	352,075	413,058	420,762	404,149	328,225	429,246	569,697	499,662	535,720	668,363	677,243
Total assets	US$ in thousands	3,428,070	3,430,730	3,680,580	3,862,830	3,565,440	3,688,060	3,962,100	3,882,140	3,230,130	2,282,230	2,214,040	2,141,690	1,739,670	1,587,590	1,654,800	1,747,780	1,483,270	1,481,410	1,690,580	1,678,350
Debt-to-assets ratio		0.30	0.29	0.31	0.34	0.38	0.41	0.40	0.38	0.36	0.15	0.19	0.20	0.23	0.21	0.26	0.33	0.34	0.36	0.40	0.40

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,015,120K ÷ $3,428,070K
= 0.30

The debt-to-assets ratio of Pool Corporation has been fluctuating over the past eight quarters, ranging from 0.30 to 0.41. A lower ratio indicates less reliance on debt to finance assets, whereas a higher ratio suggests a higher proportion of debt to assets.

In Q4 2023, the debt-to-assets ratio decreased slightly to 0.31 from 0.30 in Q3 2023. This could indicate a relatively lower level of debt compared to assets at the end of the year. Overall, the company's debt-to-assets ratio has shown a decreasing trend since Q2 2022 when it was at its highest at 0.41.

The downward trend in the debt-to-assets ratio suggests that Pool Corporation has been gradually decreasing its reliance on debt to finance its assets, which could be seen as a positive sign for the company's financial health and stability. It indicates that the company may be managing its debt levels effectively and maintaining a more conservative financial position.