Astrana Health Inc (ASTH)
Financial leverage ratio
| 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 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,226,280 | 933,361 | 1,073,260 | 1,027,180 | 992,628 | 966,213 | 943,406 | 951,064 | 922,659 | 852,363 | 871,294 | 895,717 | 843,141 | 817,486 | 814,273 | 833,217 | 724,415 | 728,713 | 750,244 | 568,330 |
| Total stockholders’ equity | US$ in thousands | 653,490 | 614,218 | 593,714 | 566,012 | 548,293 | 542,561 | 510,438 | 479,966 | 472,638 | 448,167 | 435,237 | 401,360 | 349,091 | 330,824 | 228,404 | 207,023 | 197,080 | 191,549 | 190,734 | 185,400 |
| Financial leverage ratio | 1.88 | 1.52 | 1.81 | 1.81 | 1.81 | 1.78 | 1.85 | 1.98 | 1.95 | 1.90 | 2.00 | 2.23 | 2.42 | 2.47 | 3.57 | 4.02 | 3.68 | 3.80 | 3.93 | 3.07 |
March 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,226,280K ÷ $653,490K
= 1.88
The financial leverage ratio for Astrana Health Inc has varied over the past several quarters. From the data provided, we see that the ratio fluctuated between 1.52 and 2.42, with the highest level reaching 4.02 at June 30, 2020. This indicates that the company has relied more heavily on debt financing, relative to equity, during certain periods.
A financial leverage ratio above 1 suggests that the company has more debt than equity in its capital structure, indicating a higher risk due to potential financial obligations associated with debt. Consequently, a higher financial leverage ratio can result in increased interest payments, which may impact profitability and cash flow.
It is important for Astrana Health Inc to monitor and manage its financial leverage ratio effectively, ensuring that it does not become too excessive, as it could potentially lead to financial distress, particularly in times of economic uncertainty or changes in interest rates. Controlling the amount of debt relative to equity in the capital structure is crucial for maintaining financial stability and long-term sustainability.
Peer comparison
Mar 31, 2024