Papa John's International Inc (PZZA)

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	757,422	769,210	768,820	797,362	597,069	548,753	536,446	528,088	480,730	414,915	403,810	328,538	328,292	328,079	327,932	342,611	347,290	346,064	349,749	346,433
Total assets	US$ in thousands	875,005	877,565	873,643	864,861	864,227	829,748	836,272	885,626	885,704	889,954	855,744	918,285	872,770	816,675	757,737	718,268	730,721	730,565	726,564	739,068
Debt-to-assets ratio		0.87	0.88	0.88	0.92	0.69	0.66	0.64	0.60	0.54	0.47	0.47	0.36	0.38	0.40	0.43	0.48	0.48	0.47	0.48	0.47

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $757,422K ÷ $875,005K
= 0.87

The debt-to-assets ratio of Papa John`s International, Inc. has been gradually increasing over the past eight quarters. In Q1 2022, the ratio stood at 0.62 and has since risen to 0.90 in Q4 2023. This upward trend indicates that the company's level of debt in relation to its total assets has been escalating.

A higher debt-to-assets ratio suggests that a larger portion of the company's assets are financed through debt, which can indicate higher financial risk. In the case of Papa John`s International, Inc., the company's increasing ratio implies a greater reliance on debt to fund its operations or expansion. It is essential for investors and stakeholders to closely monitor this metric to assess the company's financial health and risk profile going forward.