Bio-Rad Laboratories Inc (BIO)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 9,364,100 | 12,299,100 | 13,501,700 | 17,775,800 | 12,972,600 |
| Total stockholders’ equity | US$ in thousands | 6,569,300 | 8,741,130 | 9,615,250 | 13,667,100 | 9,879,940 |
| Financial leverage ratio | 1.43 | 1.41 | 1.40 | 1.30 | 1.31 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $9,364,100K ÷ $6,569,300K
= 1.43
The financial leverage ratio of Bio-Rad Laboratories Inc has been relatively stable over the past five years. It decreased slightly from 1.31 in December 2020 to 1.30 in December 2021, indicating a slightly lower reliance on debt financing. However, there was an increase in the financial leverage ratio to 1.40 in December 2022, followed by a further slight increase to 1.41 in December 2023 and 1.43 in December 2024.
Overall, the upward trend in the financial leverage ratio suggests that Bio-Rad Laboratories Inc has been gradually increasing its reliance on debt to finance its operations and investments. This trend may indicate a strategy to use debt to fuel growth or capitalize on investment opportunities. It is essential for stakeholders to monitor this ratio to assess the company's ability to manage its debt levels effectively and maintain financial stability.
Peer comparison
Dec 31, 2024