PPL Corporation (PPL)
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 | 14,611,000 | 12,889,000 | 10,666,000 | 13,615,000 | 20,721,000 |
| Total assets | US$ in thousands | 39,236,000 | 37,837,000 | 33,223,000 | 48,116,000 | 45,680,000 |
| Debt-to-assets ratio | 0.37 | 0.34 | 0.32 | 0.28 | 0.45 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $14,611,000K ÷ $39,236,000K
= 0.37
The debt-to-assets ratio of PPL Corp has fluctuated over the past five years, ranging from 0.34 in 2021 to 0.52 in 2020. The ratio measures the proportion of the company's assets financed by debt, with lower ratios indicating less reliance on debt financing.
PPL Corp's debt-to-assets ratio was 0.40 in 2023, showing a slight increase compared to the previous year's ratio of 0.38. This suggests that the company's level of debt in relation to its total assets has increased slightly.
Although the ratio has increased, it remains relatively moderate, indicating that PPL Corp has a reasonable level of debt compared to its asset base. However, it is important to monitor this ratio in the future to ensure that the company's debt levels are sustainable and in line with its overall financial health.
Peer comparison
Dec 31, 2023