Chesapeake Utilities Corporation (CPK)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,577,000 | 3,304,700 | 2,215,040 | 2,114,870 | 1,932,490 |
| Total stockholders’ equity | US$ in thousands | 1,390,200 | 1,246,100 | 832,801 | 774,130 | 697,085 |
| Financial leverage ratio | 2.57 | 2.65 | 2.66 | 2.73 | 2.77 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,577,000K ÷ $1,390,200K
= 2.57
The financial leverage ratio of Chesapeake Utilities Corporation has been gradually declining over the past five years, indicating an improvement in the company's financial structure. The ratio stood at 2.77 on December 31, 2020, and decreased to 2.57 by December 31, 2024. This downward trend suggests that the company is relying less on debt financing and more on equity, which could enhance its overall financial stability and reduce the risk associated with high leverage levels. Overall, the decreasing financial leverage ratio reflects a positive direction for Chesapeake Utilities Corporation in terms of its capital structure management.
Peer comparison
Dec 31, 2024