Thor Industries Inc (THO)
Debt-to-assets ratio
| Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | Jul 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,101,260 | 1,291,310 | 1,754,240 | 1,594,820 | 1,652,830 |
| Total assets | US$ in thousands | 7,020,820 | 7,260,830 | 7,408,130 | 6,654,090 | 5,771,460 |
| Debt-to-assets ratio | 0.16 | 0.18 | 0.24 | 0.24 | 0.29 |
July 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,101,260K ÷ $7,020,820K
= 0.16
Thor Industries Inc's debt-to-assets ratio has shown a decreasing trend over the past five years, indicating a stronger financial position in terms of debt management. The ratio decreased from 0.29 in July 2020 to 0.16 in July 2024. This improvement suggests that the company has been reducing its reliance on debt to finance its operations and investments while increasing its ownership of assets. A lower debt-to-assets ratio generally signifies lower financial risk and greater solvency for the company. It appears that Thor Industries Inc has been effectively managing its debt levels in recent years, which may enhance its ability to weather economic downturns and pursue growth opportunities.
Peer comparison
Jul 31, 2024