AbbVie Inc (ABBV)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 134,711,000 | 138,805,000 | 146,529,000 | 150,565,000 | 89,115,000 |
| Total stockholders’ equity | US$ in thousands | 10,360,000 | 17,254,000 | 15,408,000 | 13,076,000 | -8,172,000 |
| Financial leverage ratio | 13.00 | 8.04 | 9.51 | 11.51 | — |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $134,711,000K ÷ $10,360,000K
= 13.00
The financial leverage ratio for Abbvie Inc has fluctuated over the past five years. The ratio was 11.51 in 2020, indicating higher leverage, then decreased to 9.51 in 2021 before rising to 8.04 in 2022 and further increasing to 13.00 in 2023. This indicates that the company has increased its reliance on debt to finance its operations in 2023, possibly to fund expansion or investment activities. It would be important for stakeholders to closely monitor the trend in the financial leverage ratio to assess the company's ability to meet its financial obligations and manage its debt levels effectively.
Peer comparison
Dec 31, 2023