Viatris Inc (VTRS)

Debt-to-assets ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Long-term debt	US$ in thousands	16,188,100	17,076,900	17,246,000	18,069,400	18,015,200	18,724,500	19,206,400	18,762,500	19,717,100	19,854,300	20,917,000	22,102,200	22,429,200	11,535,000	11,385,200	—
Total assets	US$ in thousands	47,685,500	48,742,600	48,695,200	49,290,200	50,022,200	48,662,600	51,125,100	53,466,900	54,842,800	56,070,400	57,984,100	58,979,200	61,553,000	11,413,000	11,411,800	0
Debt-to-assets ratio		0.34	0.35	0.35	0.37	0.36	0.38	0.38	0.35	0.36	0.35	0.36	0.37	0.36	1.01	1.00	—

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $16,188,100K ÷ $47,685,500K
= 0.34

The debt-to-assets ratio of Viatris Inc has remained relatively stable over the past eight quarters, consistently hovering around 0.38 to 0.41. This ratio indicates that, on average, approximately 38% to 41% of the company's total assets are financed by debt.

A lower debt-to-assets ratio suggests that Viatris relies more on equity financing rather than debt, which can be viewed positively as it indicates lower financial risk. However, a higher debt-to-assets ratio may indicate higher leverage and financial risk, as the company is relying more on debt to finance its operations and investments.

Overall, Viatris Inc's consistent debt-to-assets ratio indicates a relatively balanced capital structure, with a reasonable level of debt relative to its total assets across the quarters analyzed. It suggests that the company has maintained a prudent approach to managing its debt levels while financing its operations and investments.