Coherent Inc (COHR)
Financial leverage ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 14,488,600 | 13,711,100 | 7,844,850 | 6,512,650 | 5,234,710 |
| Total stockholders’ equity | US$ in thousands | 5,210,120 | 4,987,550 | 3,616,480 | 3,406,170 | 2,076,800 |
| Financial leverage ratio | 2.78 | 2.75 | 2.17 | 1.91 | 2.52 |
June 30, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $14,488,600K ÷ $5,210,120K
= 2.78
Coherent Inc's financial leverage ratio has shown fluctuations over the five-year period analyzed. The ratio increased from 1.91 in 2021 to 2.78 in 2024, indicating a higher level of leverage in the company's capital structure. This may suggest an increased reliance on debt financing to support its operations or growth initiatives.
Although the ratio decreased in 2022 to 2.17, it remained above the levels observed in 2020 and 2023. The higher leverage ratio in recent years could potentially pose risks, such as increased interest payments and financial vulnerability during economic downturns.
Overall, the increasing trend in Coherent Inc's financial leverage ratio suggests a shift towards a more leveraged capital structure, highlighting the importance of closely monitoring the company's debt levels and ability to meet its financial obligations.
Peer comparison
Jun 30, 2024