Catalent Inc (CTLT)
Financial leverage ratio
| 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 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 9,708,000 | 9,753,000 | 9,879,000 | 9,988,000 | 10,023,000 | 10,777,000 | 10,830,000 | 11,148,000 | 10,206,000 | 10,508,000 | 10,322,000 | 10,203,000 | 10,183,000 | 9,112,000 | 8,769,100 | 8,198,100 | 7,984,200 | 7,777,000 | 7,079,600 | 6,195,300 |
| Total stockholders’ equity | US$ in thousands | 3,542,000 | 3,604,000 | 3,611,000 | 3,687,000 | 3,841,000 | 4,611,000 | 4,703,000 | 4,892,000 | 4,680,000 | 4,775,000 | 4,632,000 | 4,481,000 | 4,021,000 | 3,915,000 | 3,713,200 | 3,455,500 | 3,072,100 | 2,899,000 | 2,187,700 | 1,716,100 |
| Financial leverage ratio | 2.74 | 2.71 | 2.74 | 2.71 | 2.61 | 2.34 | 2.30 | 2.28 | 2.18 | 2.20 | 2.23 | 2.28 | 2.53 | 2.33 | 2.36 | 2.37 | 2.60 | 2.68 | 3.24 | 3.61 |
September 30, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $9,708,000K ÷ $3,542,000K
= 2.74
The financial leverage ratio of Catalent Inc has been fluctuating over the past two years. The ratio ranges from a low of 2.18 to a high of 3.61, indicating varying levels of leverage during this period. Generally, a higher financial leverage ratio suggests that the company is relying more on debt to finance its operations, whereas a lower ratio indicates a lesser dependence on debt.
From December 2019 to September 2020, there was a significant increase in the financial leverage ratio, peaking at 3.61 in March 2020. This indicates that the company had substantially increased its debt levels compared to its equity during this time. However, since then, the ratio has gradually decreased and stabilized around 2.7 in recent quarters, reflecting a more balanced mix of debt and equity in the company's capital structure.
It is important for investors and stakeholders to closely monitor the financial leverage ratio of Catalent Inc to assess the company's ability to meet its debt obligations and manage its financial risk effectively. Additionally, fluctuations in this ratio may provide insights into the company's financing decisions and overall financial health.
Peer comparison
Sep 30, 2024