Crocs Inc (CROX)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 4,643,830 | 4,501,800 | 1,545,070 | 1,118,720 | 738,802 |
| Total stockholders’ equity | US$ in thousands | 1,453,920 | 817,931 | 14,082 | 290,633 | 131,905 |
| Financial leverage ratio | 3.19 | 5.50 | 109.72 | 3.85 | 5.60 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,643,830K ÷ $1,453,920K
= 3.19
The financial leverage ratio of Crocs Inc has fluctuated significantly over the past five years. In 2023, the financial leverage ratio was 3.19, indicating that the company had a moderate level of leverage compared to its equity. This was a notable decrease from the exceptionally high financial leverage ratio of 109.72 in 2021, which suggested a substantial reliance on debt to finance the company's operations.
The financial leverage ratios for 2022, 2020, and 2019 were 5.50, 3.85, and 5.60 respectively, displaying varying levels of leverage over these years. The decreasing trend from 2021 to 2023 indicates a potential shift towards a more conservative capital structure or a reduction in the company's reliance on debt financing.
Overall, the fluctuations in Crocs Inc's financial leverage ratio suggest changes in the company's capital structure and financing decisions over the years, highlighting the importance of evaluating leverage ratios to assess the company's financial stability and risk levels.
Peer comparison
Dec 31, 2023