Interface Inc (TILE)
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 | 408,641 | 510,003 | 503,056 | 561,251 | 565,178 |
| Total assets | US$ in thousands | 1,230,100 | 1,266,500 | 1,330,060 | 1,306,010 | 1,423,050 |
| Debt-to-assets ratio | 0.33 | 0.40 | 0.38 | 0.43 | 0.40 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $408,641K ÷ $1,230,100K
= 0.33
Interface Inc.'s debt-to-assets ratio has exhibited a decreasing trend over the past five years, indicating improvements in the company's financial leverage and risk management. The ratio decreased from 0.42 in 2019 to 0.34 in 2023, suggesting that the company has reduced its reliance on debt financing relative to its total assets. This trend may be viewed positively by investors and creditors, as a lower debt-to-assets ratio typically signifies a lower financial risk and greater financial stability. However, it is important to consider other factors such as the company's industry dynamics and overall financial health when assessing the significance of this trend.
Peer comparison
Dec 31, 2023