Dril-Quip Inc (DRQ)
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 | 1,028,180 | 1,007,570 | 979,666 | 975,396 | 969,951 | 968,603 | 973,566 | 978,110 | 1,009,930 | 1,093,740 | 1,124,710 | 1,126,830 | 1,151,170 | 1,159,540 | 1,147,690 | 1,136,110 | 1,206,560 | 1,205,640 | 1,201,900 | 1,183,730 |
| Total stockholders’ equity | US$ in thousands | 881,260 | 870,462 | 879,409 | 877,814 | 872,352 | 862,916 | 868,689 | 887,278 | 897,108 | 979,777 | 995,324 | 1,008,270 | 1,041,530 | 1,037,560 | 1,015,390 | 1,024,200 | 1,090,700 | 1,092,670 | 1,097,130 | 1,095,400 |
| Financial leverage ratio | 1.17 | 1.16 | 1.11 | 1.11 | 1.11 | 1.12 | 1.12 | 1.10 | 1.13 | 1.12 | 1.13 | 1.12 | 1.11 | 1.12 | 1.13 | 1.11 | 1.11 | 1.10 | 1.10 | 1.08 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,028,180K ÷ $881,260K
= 1.17
Over the past eight quarters, Dril-Quip, Inc.'s financial leverage ratio has shown a relatively stable trend, ranging between 1.10 and 1.17. The ratio indicates that the company's reliance on debt to finance its operations has been consistent, with a slight increase observed in Q4 2023 compared to the previous quarters. Generally, a financial leverage ratio above 1.0 suggests that the company has more debt than equity in its capital structure, which implies a degree of financial risk. However, variations within a narrow range indicate that Dril-Quip has maintained a balanced level of leverage without significant fluctuations that may signal financial distress. Further analysis of the company's debt structure and overall financial performance would be necessary to fully assess the implications of its financial leverage ratio.
Peer comparison
Dec 31, 2023