Rambus Inc (RMBS)

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	—	—	—	156,031	148,788
Total assets	US$ in thousands	1,258,230	1,012,590	1,232,650	1,251,410	1,338,990
Debt-to-assets ratio		0.00	0.00	0.00	0.12	0.11

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $1,258,230K
= 0.00

The debt-to-assets ratio measures the proportion of a company's assets financed by debt. For Rambus Inc., the trend in the debt-to-assets ratio over the past five years shows a fluctuating pattern. In 2023, the company had a debt-to-assets ratio of 0.00, indicating that there was no debt financing its assets, possibly due to a reduction in debt or an increase in assets. This can be considered a positive sign as the company relied less on debt to fund its operations.

In 2022, the ratio increased slightly to 0.01, suggesting a minimal level of debt relative to assets. However, in 2021, the ratio rose significantly to 0.13, indicating that a larger portion of the company's assets were financed by debt. This could imply increased borrowing or a decrease in total assets during that period.

The ratio remained relatively stable in 2020 and 2019 at 0.12 and 0.11, respectively, showing that the company maintained a consistent level of debt relative to its assets during those years.

Overall, the trend reveals variations in the debt-to-assets ratio for Rambus Inc., with the company moving from minimal debt in 2023 to a higher debt-to-assets ratio in 2021 before stabilizing in subsequent years. This analysis suggests that Rambus Inc. has managed its debt levels effectively over the period under review.