Berry Global Group Inc (BERY)
Financial leverage ratio
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 16,613,000 | 15,988,000 | 15,981,000 | 16,144,000 | 16,587,000 | 16,549,000 | 16,613,000 | 16,451,000 | 16,956,000 | 16,885,000 | 17,535,000 | 17,341,000 | 17,882,000 | 17,577,000 | 17,263,000 | 17,176,000 | 16,701,000 | 16,731,000 | 16,949,000 | 17,024,000 |
| Total stockholders’ equity | US$ in thousands | 3,608,000 | 3,371,000 | 3,294,000 | 3,328,000 | 3,216,000 | 3,387,000 | 3,295,000 | 3,259,000 | 3,196,000 | 3,109,000 | 3,320,000 | 3,294,000 | 3,180,000 | 2,953,000 | 2,646,000 | 2,445,000 | 2,092,000 | 1,869,000 | 1,651,000 | 1,786,000 |
| Financial leverage ratio | 4.60 | 4.74 | 4.85 | 4.85 | 5.16 | 4.89 | 5.04 | 5.05 | 5.31 | 5.43 | 5.28 | 5.26 | 5.62 | 5.95 | 6.52 | 7.02 | 7.98 | 8.95 | 10.27 | 9.53 |
September 30, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $16,613,000K ÷ $3,608,000K
= 4.60
The financial leverage ratio of Berry Global Group Inc has exhibited a fluctuating trend over the periods presented. The ratio has shown an upward trajectory from 4.60 in September 2024 to 10.27 in December 2019, indicating an increasing level of financial leverage over time. This suggests that the company has been relying more on debt financing compared to equity financing.
A financial leverage ratio above 1 typically indicates that a company has more debt than equity in its capital structure. The increasing trend in the ratio implies a rising proportion of debt in the company's capital structure, which may amplify both potential returns and risks for investors.
It is vital for stakeholders to closely monitor Berry Global Group Inc's financial leverage ratio to assess the company's ability to meet its debt obligations and manage financial risks effectively. An excessively high leverage ratio could signal financial distress and impact the company's creditworthiness and overall financial health.
Peer comparison
Sep 30, 2024