Amphastar P (AMPH)

Financial leverage ratio

		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	Jun 30, 2019	Mar 31, 2019
Total assets	US$ in thousands	1,512,910	1,544,630	1,378,270	773,656	741,987	726,695	723,719	716,238	671,529	651,677	665,745	645,738	631,236	613,718	600,058	572,831	586,971	585,636	601,301	544,718
Total stockholders’ equity	US$ in thousands	639,421	595,140	589,235	548,577	528,658	505,165	499,307	479,525	445,522	430,176	421,993	405,558	402,306	450,962	397,681	377,514	381,366	389,405	387,845	334,986
Financial leverage ratio		2.37	2.60	2.34	1.41	1.40	1.44	1.45	1.49	1.51	1.51	1.58	1.59	1.57	1.36	1.51	1.52	1.54	1.50	1.55	1.63

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,512,910K ÷ $639,421K
= 2.37

The financial leverage ratio for Amphastar Pharmaceuticals Inc has shown some fluctuations over the past eight quarters. The ratio has ranged from a low of 1.40 in Q4 2022 to a high of 2.60 in Q3 2023, indicating varying levels of financial leverage during this period.

A financial leverage ratio of 2.37 in Q4 2023 suggests that the company has $2.37 of debt for every $1 of equity, indicating a high degree of leverage. The increase from the previous quarter's ratio of 2.60 could be a cause for concern as higher leverage levels can lead to increased financial risk and potential difficulties in meeting debt obligations.

On the other hand, the low financial leverage ratio of 1.40 in Q4 2022 reflects a lower level of debt relative to equity, indicating a more conservative capital structure. This may suggest a lower risk profile for the company during that period.

Overall, the trend in the financial leverage ratio for Amphastar Pharmaceuticals Inc reflects fluctuations in the company's capital structure and borrowing practices over the past eight quarters, which can have implications for its financial stability and risk management. It would be important for stakeholders to closely monitor changes in the ratio to assess the company's financial health and risk exposure.