Walt Disney Company (DIS)
Financial leverage ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 205,579,000 | 203,631,000 | 203,609,000 | 201,549,000 | 193,984,000 |
| Total stockholders’ equity | US$ in thousands | 99,277,000 | 95,008,000 | 88,553,000 | 83,583,000 | 88,877,000 |
| Financial leverage ratio | 2.07 | 2.14 | 2.30 | 2.41 | 2.18 |
September 30, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $205,579,000K ÷ $99,277,000K
= 2.07
The financial leverage ratio of Walt Disney Co (The) has exhibited a declining trend over the past five years, decreasing from 2.18 in 2019 to 2.07 in 2023. This indicates a reduction in the company's reliance on debt to finance its operations and investments. A lower financial leverage ratio suggests a stronger equity position and lower financial risk, as the company is less dependent on debt financing. Overall, this declining trend in the financial leverage ratio reflects a more conservative capital structure, which may be viewed positively by investors and creditors in terms of the company's financial stability and risk management.
Peer comparison
Sep 30, 2023