Wyndham Hotels & Resorts Inc (WH)
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 | 2,201,000 | 2,077,000 | 2,084,000 | 2,597,000 | 2,122,000 |
| Total assets | US$ in thousands | 4,033,000 | 4,123,000 | 4,269,000 | 4,644,000 | 4,533,000 |
| Debt-to-assets ratio | 0.55 | 0.50 | 0.49 | 0.56 | 0.47 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $2,201,000K ÷ $4,033,000K
= 0.55
The debt-to-assets ratio of Wyndham Hotels & Resorts Inc has fluctuated over the past five years. In 2023, the ratio increased to 0.55 from 0.50 in 2022, indicating that the company financed 55% of its assets through debt. This suggests a higher reliance on debt financing compared to the previous year.
Looking back, the ratio was 0.49 in 2021, 0.56 in 2020, and 0.47 in 2019, showing some variability in the company's debt management over time. The increase in 2020 may have raised concerns about the company's debt burden relative to its asset base, but the subsequent decrease in 2021 and 2022 demonstrated efforts to improve the ratio.
Overall, the trend in the debt-to-assets ratio for Wyndham Hotels & Resorts Inc highlights the importance of monitoring debt levels relative to asset ownership to assess the company's financial leverage and risk profile. Further analysis and consideration of industry benchmarks would be beneficial to gain a more comprehensive understanding of the company's capital structure and financial health.
Peer comparison
Dec 31, 2023