VeriSign Inc (VRSN)

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 1,492,500 1,790,200 1,787,900 1,785,700 1,790,080
Total assets US$ in thousands 1,406,500 1,749,000 1,733,400 1,983,800 1,766,910
Debt-to-assets ratio 1.06 1.02 1.03 0.90 1.01

December 31, 2024 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $1,492,500K ÷ $1,406,500K
= 1.06

VeriSign Inc's debt-to-assets ratio has shown some variability over the past five years. As of December 31, 2020, the ratio stood at 1.01, indicating that the company's total debt was approximately equal to its total assets. By the end of 2021, the ratio decreased to 0.90, suggesting a slight improvement in the company's debt position relative to its asset base.

However, there was a reversal in the trend in 2022 as the debt-to-assets ratio increased to 1.03. This uptick may indicate an increase in VeriSign's debt relative to its assets during that year. The ratio remained fairly consistent in 2023 at 1.02 before experiencing a slight uptick to 1.06 by the end of 2024.

Overall, the fluctuation in VeriSign Inc's debt-to-assets ratio over the years may signal changes in the company's capital structure and financial leverage. A higher ratio suggests a higher proportion of debt funding relative to assets, which could potentially increase financial risk. Conversely, a lower ratio indicates a stronger financial position with less reliance on debt financing. It would be essential for stakeholders to monitor these trends to assess VeriSign's solvency and financial stability.