Essential Utilities Inc (WTRG)

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	6,826,080	6,371,060	5,779,500	5,507,740	2,943,330
Total assets	US$ in thousands	16,841,500	15,719,100	14,658,300	13,705,300	9,361,980
Debt-to-assets ratio		0.41	0.41	0.39	0.40	0.31

December 31, 2023 calculation

Debt-to-assets ratio = Long-term debt ÷ Total assets
= $6,826,080K ÷ $16,841,500K
= 0.41

The debt-to-assets ratio of Essential Utilities Inc has shown relatively consistent levels over the past five years, ranging from 0.33 to 0.43. This ratio indicates the proportion of the company's assets that are financed through debt, with lower ratios suggesting lower financial risk.

Essential Utilities Inc had a debt-to-assets ratio of 0.42 at the end of 2023, which is slightly lower compared to the previous year. This suggests that the company used a lower proportion of debt to finance its assets in 2023, potentially reducing its financial risk.

Overall, Essential Utilities Inc has maintained a moderate level of debt relative to its total assets in recent years. This indicates a balanced approach to capital structure management, where the company is not overly reliant on debt financing. Further analysis of the company's overall financial health and debt management strategies would provide a more comprehensive understanding of its financial stability.