Sonoco Products Company (SON)
Debt-to-assets ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total assets | US$ in thousands | 12,507,800 | 7,191,960 | 7,089,910 | 5,085,330 | 5,277,260 |
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $12,507,800K
= 0.00
The debt-to-assets ratio for Sonoco Products Company over the five-year period from December 31, 2020, to December 31, 2024, remained consistently at 0.00. This indicates that the company did not have any debt relative to its total assets during this period. A debt-to-assets ratio of 0.00 suggests that Sonoco Products Company funded its operations and investments primarily through equity rather than debt financing. This could be seen as a positive sign of financial stability and lower financial risk, as the company does not have significant debt obligations to repay. However, it's important to note that while a zero debt-to-assets ratio may indicate a strong financial position in terms of solvency, it might also suggest missed opportunities for leveraging debt to potentially enhance returns. Overall, maintaining a low or zero debt-to-assets ratio can be advantageous for a company in terms of financial flexibility and risk management.
Peer comparison
Dec 31, 2024