Amcor PLC (AMCR)
Financial leverage ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 16,524,000 | 16,660,000 | 16,727,000 | 16,683,000 | 17,003,000 | 17,278,000 | 17,475,000 | 17,292,000 | 17,426,000 | 17,987,000 | 17,138,000 | 17,044,000 | 17,188,000 | 16,592,000 | 16,718,000 | 16,465,000 | 16,442,000 | 16,421,000 | 16,832,600 | 16,730,700 |
| Total stockholders’ equity | US$ in thousands | 3,881,000 | 3,944,000 | 3,964,000 | 3,898,000 | 4,026,000 | 4,248,000 | 4,353,000 | 3,918,000 | 4,082,000 | 4,517,000 | 4,462,000 | 4,650,000 | 4,764,000 | 4,647,000 | 4,792,000 | 4,687,000 | 4,626,000 | 4,739,600 | 5,339,700 | 5,424,200 |
| Financial leverage ratio | 4.26 | 4.22 | 4.22 | 4.28 | 4.22 | 4.07 | 4.01 | 4.41 | 4.27 | 3.98 | 3.84 | 3.67 | 3.61 | 3.57 | 3.49 | 3.51 | 3.55 | 3.46 | 3.15 | 3.08 |
June 30, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $16,524,000K ÷ $3,881,000K
= 4.26
The financial leverage ratio of Amcor PLC has shown some fluctuations over the past few quarters. The ratio has been trending upwards from 3.08 in September 2019 to 4.26 in June 2024. This indicates that the company's reliance on debt to finance its operations has been increasing over time.
It is worth noting that the ratio peaked at 4.41 in September 2022, suggesting a relatively high level of financial leverage at that point. However, it decreased to 3.84 in March 2022 before picking up again.
Overall, the upward trend in the financial leverage ratio may raise concerns about the company's ability to meet its debt obligations, as higher leverage can amplify financial risks, especially in times of economic uncertainty. It is important for Amcor PLC to carefully manage its debt levels to ensure financial stability and sustainable growth in the long term.
Peer comparison
Jun 30, 2024