UFP Technologies Inc (UFPT)
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 | 28,000 | 51,000 | 71,000 | 0 | — |
| Total assets | US$ in thousands | 404,136 | 378,192 | 334,132 | 203,204 | 188,758 |
| Debt-to-assets ratio | 0.07 | 0.13 | 0.21 | 0.00 | 0.00 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $28,000K ÷ $404,136K
= 0.07
The debt-to-assets ratio of UFP Technologies Inc has shown a decreasing trend over the past five years. In 2023, the ratio stands at 0.07, indicating that the company has a low level of debt relative to its total assets. This suggests that UFP Technologies Inc has a strong financial position with a lower dependency on debt to finance its operations and investments. The significant decrease in the ratio from 0.21 in 2021 to 0.07 in 2023 demonstrates an improvement in the company's ability to effectively manage its debt levels and optimize its asset utilization. However, the sudden drop in the ratio from 0.21 in 2021 to 0.00 in 2020 raises questions about the accuracy or completeness of the financial data. Overall, the declining trend in the debt-to-assets ratio reflects positively on UFP Technologies Inc's financial stability and efficient capital structure management.
Peer comparison
Dec 31, 2023