Verisk Analytics Inc (VRSK)
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 | 2,833,700 | 2,342,600 | 2,692,000 | 3,140,800 | 2,650,400 |
| Total assets | US$ in thousands | 4,366,100 | 6,961,100 | 7,808,100 | 7,561,800 | 7,055,200 |
| Debt-to-assets ratio | 0.65 | 0.34 | 0.34 | 0.42 | 0.38 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,833,700K ÷ $4,366,100K
= 0.65
Verisk Analytics Inc's debt-to-assets ratio has shown an increasing trend over the past five years. The ratio stood at 0.45 in 2019 and gradually increased to 0.66 by the end of 2023. This indicates that the company's proportion of debt relative to its total assets has been on the rise.
A debt-to-assets ratio of 0.66 as of December 31, 2023, suggests that Verisk Analytics Inc finances approximately 66% of its total assets through debt. This ratio can indicate the extent of financial leverage being used by the company. A higher ratio generally implies higher financial risk due to increased reliance on debt financing.
It is important to compare this ratio with industry averages and peer companies to get a better understanding of Verisk Analytics Inc's debt management strategy and financial health. Additionally, monitoring changes in the ratio over time can provide insights into the company's evolving capital structure and risk profile.
Peer comparison
Dec 31, 2023