Cross Country Healthcare Inc (CCRN)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	679,317	947,839	732,809	356,973	382,374
Total stockholders’ equity	US$ in thousands	473,393	457,219	297,528	154,375	162,632
Financial leverage ratio		1.43	2.07	2.46	2.31	2.35

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $679,317K ÷ $473,393K
= 1.43

The financial leverage ratio of Cross Country Healthcares, Inc. has shown a decreasing trend over the past five years. The ratio decreased from 2.35 in 2019 to 1.43 in 2023. This indicates that the company has been relying less on debt to finance its operations and investments over the years. Lower financial leverage can be viewed positively as it suggests lower financial risk and greater financial stability for the company. It also implies that the company may have stronger cash flows or improved equity positions, which have enabled it to reduce its reliance on debt. Overall, the declining financial leverage ratio of Cross Country Healthcares, Inc. reflects a prudent approach to managing its capital structure and financial risk.