DXC Technology Co (DXC)

Financial leverage ratio

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Total assets US$ in thousands 13,205,000 13,871,000 15,845,000 20,139,000 22,038,000
Total stockholders’ equity US$ in thousands 3,229,000 2,811,000 3,497,000 5,052,000 5,308,000
Financial leverage ratio 4.09 4.93 4.53 3.99 4.15

March 31, 2025 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $13,205,000K ÷ $3,229,000K
= 4.09

The financial leverage ratio for DXC Technology Co has shown fluctuations over the past five years. As of March 31, 2021, the ratio was 4.15, indicating that the company had a higher level of financial leverage. Subsequently, a decline was observed in the ratio for the following year, reaching 3.99 by March 31, 2022. However, the ratio saw an upward trend in the next two years, with values of 4.53 as of March 31, 2023, and 4.93 by March 31, 2024, suggesting an increase in financial leverage. By March 31, 2025, the ratio decreased to 4.09, showing a slight improvement in the company's financial leverage position compared to the previous year. Overall, the fluctuating trend in the financial leverage ratio implies varying degrees of reliance on debt financing by DXC Technology Co during the period under review.