Smurfit WestRock plc (SW)
Debt-to-assets ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | — | — | — | — |
| Total assets | US$ in thousands | 12,628,000 | 12,482,000 | 11,707,000 | 10,290,000 |
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $—K ÷ $12,628,000K
= 0.00
Smurfit WestRock plc has consistently reported a debt-to-assets ratio of 0.00 over the past four years, including as of December 31 in 2020, 2021, 2022, and 2023. This indicates that the company has not utilized debt to finance its assets during this period. A debt-to-assets ratio of 0.00 suggests that the company's assets are entirely funded by equity rather than debt. This could imply that Smurfit WestRock plc has strong financial stability and a low risk of financial distress related to debt obligations. However, it is essential to consider that a very low debt-to-assets ratio may also signal missed opportunities for leveraging debt to potentially enhance returns for shareholders. Overall, the consistent zero debt-to-assets ratio for Smurfit WestRock plc could reflect a deliberate financing strategy or prudent financial management decisions.
Peer comparison
Dec 31, 2023