Appfolio Inc (APPF)

Financial leverage ratio

Dec 31, 2024 Sep 30, 2024 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
Total assets US$ in thousands 626,678 523,297 479,317 438,770 408,889 378,600 351,359 370,700 381,217 384,882 375,428 400,034 408,017 407,387 399,072 378,697 389,480 386,272 320,351 293,427
Total stockholders’ equity US$ in thousands 519,290 412,827 371,412 339,195 297,312 262,656 225,953 240,569 265,546 271,872 264,991 288,743 297,381 291,699 287,267 285,784 285,920 284,516 144,504 124,875
Financial leverage ratio 1.21 1.27 1.29 1.29 1.38 1.44 1.56 1.54 1.44 1.42 1.42 1.39 1.37 1.40 1.39 1.33 1.36 1.36 2.22 2.35

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $626,678K ÷ $519,290K
= 1.21

The financial leverage ratio of Appfolio Inc has exhibited a declining trend from 2.35 as of March 31, 2020, to 1.21 as of December 31, 2024. This indicates a reduction in the company's reliance on debt financing over the analyzed period. A decreasing trend in the financial leverage ratio suggests that the company is using less debt relative to its equity to finance its assets, which could signify improved financial stability and lower financial risk. It appears that Appfolio Inc has been managing its capital structure effectively, balancing its debt and equity components to maintain a healthy financial leverage position. It is crucial for investors and stakeholders to closely monitor this ratio to gauge the company's financial risk and stability.