AptarGroup Inc (ATR)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	4,451,890	4,203,460	4,141,360	3,990,050	3,562,120
Total stockholders’ equity	US$ in thousands	2,306,820	2,053,940	1,969,410	1,850,390	1,571,920
Financial leverage ratio		1.93	2.05	2.10	2.16	2.27

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,451,890K ÷ $2,306,820K
= 1.93

The financial leverage ratio of Aptargroup Inc. has shown a declining trend over the past five years, decreasing from 2.27 in 2019 to 1.93 in 2023. This indicates that the company has been reducing its reliance on debt to finance its operations. A lower financial leverage ratio suggests that Aptargroup has a lower level of debt relative to its equity, which can be seen as a positive sign of financial strength and stability. This trend may indicate that the company is managing its capital structure effectively and reducing its financial risk. However, it is essential to consider the industry norms and overall economic conditions when evaluating the significance of this trend.