Salesforce.com Inc (CRM)

Financial leverage ratio

Jan 31, 2025 Jan 31, 2024 Jan 31, 2023 Jan 31, 2022 Jan 31, 2021
Total assets US$ in thousands 102,928,000 99,823,000 98,849,000 95,209,000 66,301,000
Total stockholders’ equity US$ in thousands 61,173,000 59,646,000 58,359,000 58,131,000 41,493,000
Financial leverage ratio 1.68 1.67 1.69 1.64 1.60

January 31, 2025 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $102,928,000K ÷ $61,173,000K
= 1.68

The financial leverage ratio of Salesforce.com Inc has shown a general increasing trend over the past years, starting at 1.60 on January 31, 2021, and reaching 1.68 by January 31, 2025. This indicates that the company's reliance on debt to finance its operations has been gradually rising. However, there was a slight decrease from 1.69 on January 31, 2023, to 1.67 on January 31, 2024. It is important to note that a higher financial leverage ratio suggests higher financial risk, as the company has more debt in its capital structure compared to equity. Investors and creditors may closely monitor this trend to assess the company's ability to meet its debt obligations and manage its financial risk effectively.


See also:

Salesforce.com Inc Financial Leverage