The Wendy’s Co (WEN)
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 | 2,732,810 | 2,822,200 | 2,356,420 | 2,218,160 | 2,257,560 |
| Total assets | US$ in thousands | 5,182,830 | 5,499,340 | 5,101,390 | 5,040,010 | 4,994,530 |
| Debt-to-assets ratio | 0.53 | 0.51 | 0.46 | 0.44 | 0.45 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,732,810K ÷ $5,182,830K
= 0.53
The debt-to-assets ratio of Wendy's Co has been trending upwards over the past five years, indicating that the company has been increasing its reliance on debt to finance its operations and investments. In 2023, the ratio reached 0.65, which means that 65% of the company's total assets are funded by debt. This higher ratio suggests that Wendy's Co may have a higher level of financial leverage and increased financial risk compared to previous years. It is important for investors and stakeholders to monitor this trend closely to assess the company's ability to manage its debt obligations and maintain a healthy financial position in the long term.
Peer comparison
Dec 31, 2023