Albertsons Companies (ACI)
Financial leverage ratio
| Feb 28, 2025 | Feb 29, 2024 | Feb 28, 2023 | Feb 28, 2022 | Feb 28, 2021 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 26,755,700 | 26,221,100 | 26,168,200 | 28,123,000 | 26,598,000 |
| Total stockholders’ equity | US$ in thousands | 3,385,900 | 2,747,500 | 1,610,700 | 3,024,600 | 1,324,300 |
| Financial leverage ratio | 7.90 | 9.54 | 16.25 | 9.30 | 20.08 |
February 28, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $26,755,700K ÷ $3,385,900K
= 7.90
The financial leverage ratio of Albertsons Companies has exhibited notable fluctuations over the period from February 2021 to February 2025. As of February 28, 2021, the ratio stood at a high level of 20.08, indicating a substantial reliance on debt financing relative to equity during that time. By February 28, 2022, the ratio decreased markedly to 9.30, reflecting a significant reduction in leverage, potentially due to debt repayment, equity issuance, or a combination of both strategies aimed at reducing financial risk.
However, in the subsequent period ending February 28, 2023, the leverage ratio experienced a rise again to 16.25, suggesting an increase in debt levels or a decrease in equity, which could be associated with strategic financing decisions or operational changes. The ratio further declined to 9.54 by February 29, 2024, nearly reverting to the levels observed in 2022, suggesting a continued effort to reduce leverage post-2023.
Looking forward, the projected financial leverage ratio for February 28, 2025, is 7.90, which indicates an ongoing trend toward lower leverage ratios. This gradual reduction in leverage over the analyzed period implies a strategic shift towards a more conservative capital structure, with decreased dependence on debt financing and a possible focus on strengthening financial stability and flexibility.
Overall, the data reflects a pattern of initial high leverage that was notably decreased in 2022, followed by periods of increased leverage in 2023, and a subsequent sustained decline through 2024 and 2025. This trend suggests a strategic emphasis on deleveraging to manage financial risk and maintain operational resilience.
Peer comparison
Feb 28, 2025