Amphastar P (AMPH)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,577,470 | 1,512,910 | 741,987 | 671,529 | 631,236 |
| Total stockholders’ equity | US$ in thousands | 732,298 | 639,421 | 528,658 | 445,522 | 402,306 |
| Financial leverage ratio | 2.15 | 2.37 | 1.40 | 1.51 | 1.57 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,577,470K ÷ $732,298K
= 2.15
The financial leverage ratio of Amphastar P has shown a fluctuating trend over the past five years.
As of December 31, 2020, the financial leverage ratio was 1.57, indicating that the company relied more on debt to finance its operations compared to its equity. However, by December 31, 2021, the ratio decreased slightly to 1.51, suggesting a slight improvement in the company's leverage position.
In the following years, there was a more significant decrease in the financial leverage ratio. By December 31, 2022, the ratio had decreased to 1.40, indicating a reduction in the company's reliance on debt financing. This trend continued into December 31, 2023, where the ratio increased significantly to 2.37, showing a substantial increase in leverage potentially due to higher debt levels or lower equity.
However, by December 31, 2024, the financial leverage ratio decreased to 2.15, still higher than the levels seen in 2022 and 2021 but lower than the peak in 2023.
Overall, the financial leverage ratio of Amphastar P has exhibited variability over the years, indicating fluctuations in the company's capital structure and its mix of debt and equity financing. Investors and analysts may want to further investigate the reasons behind these changes to assess the company's financial health and risk profile accurately.
Peer comparison
Dec 31, 2024