Zurn Elkay Water Solutions Corporation (ZWS)
Debt-to-assets ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 494,800 | 494,400 | 530,200 | 533,900 | 1,397,000 |
| Total assets | US$ in thousands | 2,648,500 | 2,667,000 | 2,864,000 | 1,077,700 | 3,627,100 |
| Debt-to-assets ratio | 0.19 | 0.19 | 0.19 | 0.50 | 0.39 |
December 31, 2024 calculation
Debt-to-assets ratio = Long-term debt ÷ Total assets
= $494,800K ÷ $2,648,500K
= 0.19
The debt-to-assets ratio of Zurn Elkay Water Solutions Corporation has shown fluctuations over the past few years. As of March 31, 2020, the ratio was 0.39, indicating that 39% of the company's assets were financed by debt. By December 31, 2021, the ratio had increased to 0.50, suggesting that the company relied more on debt financing, with half of its assets being funded by debt.
However, starting from December 31, 2022, the debt-to-assets ratio decreased significantly to 0.19, signaling a more conservative approach towards debt financing. This lower ratio remained stable throughout 2023 and 2024, hinting at a well-managed balance between debt and assets in the company's capital structure.
Overall, the trend in the debt-to-assets ratio indicates that Zurn Elkay Water Solutions Corporation has made strategic decisions to maintain a healthy balance between debt and assets, which may be reflective of the company's financial strength and risk management practices.
Peer comparison
Dec 31, 2024