Blackbaud Inc (BLKB)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	2,912,280	2,992,700	2,971,620	2,044,730	1,992,960
Total stockholders’ equity	US$ in thousands	808,705	744,032	717,060	426,150	396,764
Financial leverage ratio		3.60	4.02	4.14	4.80	5.02

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,912,280K ÷ $808,705K
= 3.60

The financial leverage ratio of Blackbaud Inc has shown a decreasing trend over the past five years, indicating an improvement in the company's leverage position. The ratio decreased from 5.02 in 2019 to 3.60 in 2023. This suggests that Blackbaud has reduced its reliance on debt financing relative to equity over the period, leading to a lower level of financial risk. A decreasing trend in the financial leverage ratio is generally viewed positively by investors and creditors as it signifies a healthier balance sheet and improved financial stability.