Comstock Resources Inc (CRK)

Financial leverage ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Total assets	US$ in thousands	6,382,100	6,313,010	6,324,520	6,317,240	6,469,400	6,031,110	5,836,730	5,700,880	5,694,260	5,584,360	5,288,190	4,749,700	4,668,230	4,887,140	4,764,250	4,735,150	4,623,980	4,502,850	4,533,420	4,643,740
Total stockholders’ equity	US$ in thousands	2,241,020	2,295,270	2,320,320	2,445,960	2,358,410	2,282,760	2,300,190	2,380,180	2,278,310	1,794,420	1,446,280	1,073,520	1,187,780	830,281	1,122,410	1,304,990	1,441,770	1,362,680	1,317,500	1,556,480
Financial leverage ratio		2.85	2.75	2.73	2.58	2.74	2.64	2.54	2.40	2.50	3.11	3.66	4.42	3.93	5.89	4.24	3.63	3.21	3.30	3.44	2.98

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $6,382,100K ÷ $2,241,020K
= 2.85

Comstock Resources Inc's financial leverage ratio provides insight into the company's level of debt relative to its equity. The ratio has fluctuated over the years, ranging from a low of 2.50 on December 31, 2022, to a high of 5.89 on September 30, 2021. Generally, a higher financial leverage ratio indicates a higher level of financial risk, as the company is relying more on debt to finance its operations.

Comstock Resources Inc experienced a significant increase in its financial leverage ratio in the recent quarters of June 2021 and September 2021, reaching 4.24 and 5.89 respectively. This may indicate an aggressive use of debt to support growth or operational needs during that period.

However, the company managed to lower its financial leverage ratio to 2.40 on March 31, 2023, before gradually increasing to 2.85 on December 31, 2024. These fluctuations suggest that Comstock Resources Inc has been actively managing its debt levels to maintain a balanced capital structure.

Overall, investors and stakeholders should closely monitor Comstock Resources Inc's financial leverage ratio to assess its ability to meet financial obligations and manage debt effectively in the long term.