XPO Logistics Inc (XPO)
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 | 3,335,000 | 2,473,000 | 3,513,000 | 5,240,000 | 5,182,000 |
| Total assets | US$ in thousands | 7,492,000 | 6,269,000 | 8,717,000 | 16,177,000 | 14,128,000 |
| Debt-to-assets ratio | 0.45 | 0.39 | 0.40 | 0.32 | 0.37 |
December 31, 2023 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $3,335,000K ÷ $7,492,000K
= 0.45
The debt-to-assets ratio of XPO Inc has been fluctuating over the past five years. In 2023, the ratio increased to 0.45 from 0.40 in 2022, indicating that the company relied more on debt financing relative to its total assets. However, when compared to 2021 and 2020, where the ratio was 0.41, the increase in 2023 was not as significant.
In 2019, the ratio was at its lowest at 0.37, suggesting that the company had a lower proportion of debt relative to its total assets. Overall, the trend suggests that XPO Inc has been gradually increasing its reliance on debt financing over the years, which could indicate a strategic shift in the company's capital structure or investment strategy. Investors and analysts may want to further investigate the reasons behind this trend and assess its potential impact on the company's financial health and risk profile.
Peer comparison
Dec 31, 2023