Core Laboratories NV (CLB)
Financial leverage ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | ||
|---|---|---|---|---|
| Total assets | US$ in thousands | 586,395 | 592,414 | 601,848 |
| Total stockholders’ equity | US$ in thousands | 224,815 | 224,694 | 214,756 |
| Financial leverage ratio | 2.61 | 2.64 | 2.80 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $586,395K ÷ $224,815K
= 2.61
The financial leverage ratio of Core Laboratories NV has been fluctuating over the three quarters under consideration. In the most recent quarter, at December 31, 2023, the financial leverage ratio stood at 2.61, which is a decrease compared to the previous quarter's ratio of 2.64 at September 30, 2023. The ratio further decreased from the highest point observed in June 30, 2023, at 2.80.
A financial leverage ratio of 2.61 indicates that the company's total assets are 2.61 times greater than its total equity. This implies that Core Laboratories NV relies more on debt financing rather than equity financing to support its operations and growth. The decreasing trend in the financial leverage ratio suggests a potential improvement in the company's solvency and financial stability over the quarters analyzed. However, it is essential to monitor this trend over time to assess any long-term implications on the company's capital structure and risk profile.
Peer comparison
Dec 31, 2023