ADMA Biologics Inc (ADMA)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 488,678 | 329,182 | 348,461 | 276,253 | 207,673 |
| Total stockholders’ equity | US$ in thousands | 349,018 | 135,206 | 151,974 | 141,173 | 88,249 |
| Financial leverage ratio | 1.40 | 2.43 | 2.29 | 1.96 | 2.35 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $488,678K ÷ $349,018K
= 1.40
The financial leverage ratio of ADMA Biologics Inc has exhibited some fluctuations over the past five years. In 2020, the ratio was at 2.35, indicating a higher level of financial leverage. However, in 2021, the ratio decreased to 1.96, suggesting a reduction in the company's reliance on debt to finance its operations.
Subsequently, the ratio increased in 2022 to 2.29 and further rose in 2023 to 2.43, signifying a resurgence in the utilization of debt in the company's capital structure. The significant increase in 2023 implies a potential increase in financial risk due to higher debt levels.
However, in 2024, the financial leverage ratio experienced a sharp decline to 1.40, indicating a substantial decrease in the company's financial leverage compared to the previous year. This reduction could signify a shift towards a more conservative debt financing strategy or a decrease in total debt levels relative to equity.
Overall, the trend in ADMA Biologics Inc's financial leverage ratio reflects fluctuations in the company's capital structure and debt management practices over the years, impacting its risk profile and financial stability.
Peer comparison
Dec 31, 2024