ACADIA Pharmaceuticals Inc (ACAD)

Financial leverage ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Total assets	US$ in thousands	1,187,760	976,868	914,099	855,103	748,956	632,540	642,769	655,305	587,812	602,491	612,766	624,251	700,122	717,673	724,429	755,173	782,616	795,664	759,649	747,450
Total stockholders’ equity	US$ in thousands	732,793	577,180	516,700	464,044	431,755	362,174	395,793	374,258	400,413	425,686	434,848	444,797	540,894	566,955	564,838	581,606	627,009	654,867	663,013	638,382
Financial leverage ratio		1.62	1.69	1.77	1.84	1.73	1.75	1.62	1.75	1.47	1.42	1.41	1.40	1.29	1.27	1.28	1.30	1.25	1.22	1.15	1.17

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,187,760K ÷ $732,793K
= 1.62

The financial leverage ratio of ACADIA Pharmaceuticals Inc has shown an increasing trend over the years, starting at 1.17 as of March 31, 2020, and reaching 1.62 by June 30, 2024. This indicates that the company has been relying more on debt to finance its operations and investments relative to its equity.

The ratio fluctuated slightly throughout the period, with some peaks and valleys observed. However, overall, the trend has been generally upward, suggesting a growing level of financial risk associated with the company's capital structure.

It is important for investors and stakeholders to closely monitor this ratio, as a higher financial leverage ratio implies higher financial risk and potential challenges in meeting debt obligations. However, it is also worth noting that a certain level of debt can be beneficial for a company to support growth and profitability, as long as it is managed effectively.