WEC Energy Group Inc (WEC)

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	15,366,900	14,655,700	13,472,400	11,672,800	11,171,400
Total assets	US$ in thousands	43,939,700	41,872,100	38,988,500	37,028,100	34,951,800
Debt-to-assets ratio		0.35	0.35	0.35	0.32	0.32

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $15,366,900K ÷ $43,939,700K
= 0.35

The debt-to-assets ratio of WEC Energy Group Inc has shown a generally increasing trend over the past five years, rising from 0.36 in 2019 to 0.43 in 2023. This indicates that the company's reliance on debt to finance its operations and investment activities has been gradually increasing.

A debt-to-assets ratio of 0.43 as of December 31, 2023, suggests that 43% of the company's total assets are financed by debt. This level of leverage may indicate a moderate level of financial risk, as the company has a significant amount of debt compared to its total assets.

While an increasing debt-to-assets ratio can sometimes be indicative of financial stress, it could also suggest that the company is taking advantage of favorable financing opportunities to support its growth and expansion initiatives. It is important for investors and stakeholders to closely monitor the company's ability to manage and service its debt obligations, as well as its overall financial health and profitability, in light of its increasing debt levels.