Accenture plc (ACN)
Financial leverage ratio
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 55,932,400 | 51,245,300 | 47,263,400 | 43,175,800 | 37,078,600 |
| Total stockholders’ equity | US$ in thousands | 28,288,600 | 25,692,800 | 22,106,100 | 19,529,500 | 17,000,500 |
| Financial leverage ratio | 1.98 | 1.99 | 2.14 | 2.21 | 2.18 |
August 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $55,932,400K ÷ $28,288,600K
= 1.98
The financial leverage ratio of Accenture plc has shown a declining trend over the past five years, decreasing from 2.21 in 2021 to 1.98 in 2024. This indicates that the company has been relying less on debt to finance its operations and growth, as compared to previous years. A lower financial leverage ratio is generally considered favorable as it signifies lower financial risk and greater financial stability. However, it is essential to assess this ratio in conjunction with other financial metrics to get a comprehensive understanding of the company's capital structure and financial health.
Peer comparison
Aug 31, 2024