ChampionX Corporation (CHX)

Financial leverage ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total assets US$ in thousands 3,470,250 3,241,700 3,387,480 3,534,700 3,475,780
Total stockholders’ equity US$ in thousands 1,846,440 1,676,620 1,694,550 1,770,640 1,625,970
Financial leverage ratio 1.88 1.93 2.00 2.00 2.14

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,470,250K ÷ $1,846,440K
= 1.88

The financial leverage ratio of ChampionX Corporation has exhibited a decreasing trend over the years, declining from 2.14 in December 2020 to 1.88 in December 2024. This indicates that the company has been relying less on debt to finance its operations compared to its equity. A decreasing financial leverage ratio can be a positive sign as it suggests a lower level of financial risk and potential vulnerability to economic downturns. ChampionX Corporation's decreasing leverage ratio may indicate a stronger financial position and improved stability in its capital structure over the years.


Peer comparison

Dec 31, 2024

Company name
Symbol
Financial leverage ratio
ChampionX Corporation
CHX
1.88
Dover Corporation
DOV
2.22