Ecolab Inc (ECL)

Financial leverage ratio

		Dec 31, 2024	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
Total assets	US$ in thousands	22,387,800	22,101,600	21,461,800	21,298,500	21,846,600	21,858,100	21,456,200	21,251,500	21,464,300	21,037,000	21,163,600	21,067,200	21,206,400	17,926,200	18,533,700	18,208,100	18,126,000	18,097,100	18,082,400	22,339,600
Total stockholders’ equity	US$ in thousands	8,757,300	8,547,800	8,287,400	8,205,600	8,044,700	7,795,800	7,556,700	7,344,200	7,236,100	7,062,600	7,093,400	7,081,600	7,224,200	6,933,500	6,709,100	6,292,300	6,166,500	6,014,700	5,855,200	8,822,100
Financial leverage ratio		2.56	2.59	2.59	2.60	2.72	2.80	2.84	2.89	2.97	2.98	2.98	2.97	2.94	2.59	2.76	2.89	2.94	3.01	3.09	2.53

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $22,387,800K ÷ $8,757,300K
= 2.56

Ecolab Inc's financial leverage ratio has shown fluctuations over the past five years, ranging from a low of 2.53 in March 2020 to a high of 3.09 in June 2020. Since then, the ratio has generally trended downwards, reaching a recent low of 2.56 in December 2024. This suggests that the company has been gradually reducing its reliance on debt to finance its operations and investments. However, it is important to note that a financial leverage ratio of around 2.5 to 3 indicates that Ecolab Inc still maintains a moderate level of debt relative to its equity. Overall, the trend in the financial leverage ratio indicates that Ecolab Inc has been effectively managing its debt levels while maintaining financial stability.