Cytek Biosciences Inc (CTKB)

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
Total assets	US$ in thousands	499,500	491,226	483,725	492,067	497,669	519,430	525,054	524,575	519,476	499,295	492,817	485,879	463,700	454,320	230,279	224,264	219,979
Total stockholders’ equity	US$ in thousands	395,737	385,463	389,123	392,614	393,064	415,524	424,179	423,460	425,295	416,447	411,027	407,236	406,458	403,055	-11,300	-15,072	-16,028
Financial leverage ratio		1.26	1.27	1.24	1.25	1.27	1.25	1.24	1.24	1.22	1.20	1.20	1.19	1.14	1.13	—	—	—

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $499,500K ÷ $395,737K
= 1.26

The financial leverage ratio of Cytek Biosciences Inc has been gradually increasing over the years, indicating an increasing level of financial leverage. This ratio was not available for analysis for the period ending in December 2020 and March 2021. However, starting from September 2021 at 1.13, the financial leverage ratio has been steadily climbing to reach 1.26 as of December 31, 2024.

A financial leverage ratio of greater than 1 suggests that the company is relying more on debt financing than equity financing. While some level of leverage can amplify returns for shareholders, high levels of leverage can also increase financial risk, especially during economic downturns or periods of financial distress.

In the case of Cytek Biosciences Inc, the increasing trend in the financial leverage ratio may indicate a strategy to utilize debt to fund growth opportunities or operations. However, stakeholders should closely monitor the company's ability to service its debt obligations and manage financial risks associated with higher leverage levels.