Rollins Inc (ROL)
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 | 490,776 | 39,898 | 136,250 | 185,812 | 279,000 |
| Total assets | US$ in thousands | 2,595,460 | 2,122,030 | 2,021,540 | 1,845,900 | 1,744,380 |
| Debt-to-assets ratio | 0.19 | 0.02 | 0.07 | 0.10 | 0.16 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $490,776K ÷ $2,595,460K
= 0.19
The debt-to-assets ratio for Rollins, Inc. has fluctuated over the past five years. In 2023, the ratio stands at 0.19, indicating that 19% of the company's assets are financed by debt. This represents a significant increase from the previous year, where the ratio was at a lower level of 0.03. The company's leverage in 2023 is higher compared to the ratios in 2021 and 2020, which were at 0.08 and 0.11, respectively. However, it is still lower than the ratio in 2019, which stood at 0.17.
The upward trend in the debt-to-assets ratio over the past two years suggests that Rollins, Inc. has been relying more on debt to finance its assets. It is important for investors and creditors to closely monitor this ratio to assess the company's financial risk and ability to meet its debt obligations in the future.
Peer comparison
Dec 31, 2023