Sensient Technologies Corporation (SXT)
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 | 613,523 | 645,085 | 630,331 | 503,006 | 518,004 |
Total assets | US$ in thousands | 2,023,790 | 2,014,510 | 1,981,610 | 1,745,490 | 1,740,860 |
Debt-to-assets ratio | 0.30 | 0.32 | 0.32 | 0.29 | 0.30 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $613,523K ÷ $2,023,790K
= 0.30
The debt-to-assets ratio of Sensient Technologies Corporation has fluctuated over the past five years. It was 0.30 as of December 31, 2020, slightly decreased to 0.29 by December 31, 2021, and then increased to 0.32 by both December 31, 2022, and December 31, 2023. Finally, by December 31, 2024, the ratio returned to 0.30.
A debt-to-assets ratio of less than 1 indicates that Sensient Technologies Corporation relies more on equity financing than debt financing to support its assets, which could be considered a conservative approach. The slight fluctuations in the ratio may suggest varying levels of debt and asset management over the years, with the company maintaining a relatively stable financial position with a moderate level of leverage.
It would be important for stakeholders to monitor these fluctuations in the debt-to-assets ratio to assess the company's ability to meet its financial obligations and manage its debt effectively.
Peer comparison
Dec 31, 2024