Copart Inc (CPRT)
Financial leverage ratio
| Jul 31, 2025 | Jul 31, 2024 | Jul 31, 2023 | Jul 31, 2022 | Jul 31, 2021 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 10,090,900 | 8,427,760 | 6,737,880 | 5,308,860 | 4,562,140 |
| Total stockholders’ equity | US$ in thousands | 9,187,030 | 7,524,010 | 5,987,440 | 4,625,600 | 3,529,200 |
| Financial leverage ratio | 1.10 | 1.12 | 1.13 | 1.15 | 1.29 |
July 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $10,090,900K ÷ $9,187,030K
= 1.10
The financial leverage ratio of Copart Inc. has demonstrated a consistent and gradual decline over the period from July 31, 2021, to July 31, 2025. Specifically, the ratio decreased from 1.29 in 2021 to 1.15 in 2022, further declining to 1.13 in 2023, then to 1.12 in 2024, and reaching 1.10 in 2025. This trend indicates a steady reduction in the company's reliance on debt financing relative to its equity. The decreasing leverage ratio suggests that Copart Inc. has been progressively deleveraging, potentially through the repayment of debt, issuance of equity, or improved earnings that bolster equity levels. Overall, the trend reflects an enhancement in the company's financial stability and a move toward a more conservative capital structure, reducing financial risk over the observed period.