Dominion Energy Inc (D)
Financial leverage ratio
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 109,000,000 | 105,943,000 | 106,064,000 | 105,325,000 | 104,800,000 | 103,535,000 | 103,678,000 | 100,852,000 | 99,600,000 | 99,804,000 | 97,963,000 | 96,703,000 | 95,900,000 | 104,535,000 | 103,728,000 | 104,126,000 | 103,800,000 | 102,359,000 | 100,822,000 | 100,054,000 |
| Total stockholders’ equity | US$ in thousands | 27,529,000 | 28,028,000 | 28,428,000 | 28,356,000 | 27,659,000 | 28,573,000 | 28,297,000 | 27,520,000 | 27,308,000 | 26,906,000 | 26,550,000 | 26,699,000 | 26,117,000 | 26,336,000 | 28,871,000 | 30,726,000 | 31,994,000 | 29,286,000 | 27,697,000 | 26,909,000 |
| Financial leverage ratio | 3.96 | 3.78 | 3.73 | 3.71 | 3.79 | 3.62 | 3.66 | 3.66 | 3.65 | 3.71 | 3.69 | 3.62 | 3.67 | 3.97 | 3.59 | 3.39 | 3.24 | 3.50 | 3.64 | 3.72 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $109,000,000K ÷ $27,529,000K
= 3.96
The financial leverage ratio of Dominion Energy Inc has exhibited some fluctuations over the past eight quarters. The ratio has ranged from a low of 3.46 in Q1 2022 to a high of 3.96 in Q4 2023. This indicates that the company has been utilizing debt to finance its operations and investments, with the level of leverage varying quarter to quarter.
Overall, the trend shows an increasing leverage ratio from Q1 2022 to Q4 2023, with some fluctuations in between. A higher financial leverage ratio implies that a company is relying more on debt to fund its operations and investments, which can increase financial risk but also potentially lead to higher returns.
It is important for investors and stakeholders to monitor Dominion Energy's financial leverage ratio over time to assess the company's risk profile and financial health. The company's management should also be mindful of maintaining an appropriate balance between debt and equity financing to ensure sustainable growth and financial stability.
Peer comparison
Dec 31, 2023