Builders FirstSource Inc (BLDR)

Financial leverage ratio

		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	Mar 31, 2019
Total assets	US$ in thousands	10,499,500	10,736,800	10,733,100	10,476,900	10,595,200	11,537,700	12,085,900	12,051,200	10,714,300	10,809,100	10,626,100	9,379,510	4,173,670	4,014,930	3,764,680	3,561,360	3,249,490	3,297,760	3,249,970	3,199,460
Total stockholders’ equity	US$ in thousands	4,732,350	4,580,680	4,342,060	4,657,230	4,962,570	5,224,600	5,136,350	5,136,050	4,802,480	5,523,430	5,482,460	4,983,940	1,152,780	1,007,860	915,934	833,538	824,953	779,001	704,131	632,471
Financial leverage ratio		2.22	2.34	2.47	2.25	2.14	2.21	2.35	2.35	2.23	1.96	1.94	1.88	3.62	3.98	4.11	4.27	3.94	4.23	4.62	5.06

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $10,499,500K ÷ $4,732,350K
= 2.22

Builders Firstsource Inc's financial leverage ratio has shown some fluctuations over the past eight quarters. The ratio peaked at 2.47 in Q2 2023, indicating a higher level of financial leverage, but decreased to 2.25 in Q1 2023. This suggests a potential reduction in the company's reliance on debt to finance its operations.

Comparing the latest data to the corresponding period a year ago, the financial leverage ratio has increased from 2.14 in Q4 2022 to 2.22 in Q4 2023. This uptrend may indicate an increase in the company's debt levels relative to its equity.

Overall, the trend in the financial leverage ratio suggests that Builders Firstsource Inc has been managing its financial leverage levels to support its operations and growth strategy. The company should continue monitoring and adjusting its debt levels to maintain a healthy balance between debt and equity financing.