Somnigroup International Inc. (SGI)
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 | — | — | — | — | 1,502,600 |
| Total assets | US$ in thousands | 4,553,900 | 4,359,800 | 4,323,400 | 3,308,600 | 3,061,800 |
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.49 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $4,553,900K
= 0.00
The debt-to-assets ratio of Somnigroup International Inc. has shown a decreasing trend over the past five years. As of December 31, 2019, the ratio stood at 0.49, indicating that 49% of the company's assets were financed by debt. However, in the subsequent years (2020 to 2023), the ratio declined to 0.00, suggesting that the company has significantly reduced its reliance on debt financing to fund its operations and investments. This trend signifies a positive development as it indicates a healthier financial position with lower financial risk and potentially improved financial stability. However, it's important to note that a debt-to-assets ratio of 0.00 may also indicate that the company might be underleveraged if it has the capacity to take on debt for strategic growth opportunities. Therefore, further analysis is needed to assess the company's overall capital structure and financial strategy.
Peer comparison
Dec 31, 2023