Equifax Inc (EFX)
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 | 12,280,000 | 12,348,900 | 11,537,900 | 11,583,900 | 11,547,900 | 11,308,000 | 11,221,200 | 11,391,700 | 11,040,900 | 11,083,300 | 9,340,300 | 9,669,400 | 9,611,800 | 9,249,800 | 8,832,800 | 7,622,800 | 7,909,000 | 7,430,700 | 7,473,500 | 7,335,700 |
| Total stockholders’ equity | US$ in thousands | 4,534,100 | 4,293,300 | 4,191,200 | 4,064,000 | 3,956,500 | 3,759,000 | 3,805,000 | 3,834,100 | 3,584,400 | 3,539,200 | 3,460,500 | 3,318,000 | 3,168,400 | 2,929,000 | 2,694,100 | 2,386,500 | 2,578,600 | 2,515,800 | 2,543,400 | 2,561,700 |
| Financial leverage ratio | 2.71 | 2.88 | 2.75 | 2.85 | 2.92 | 3.01 | 2.95 | 2.97 | 3.08 | 3.13 | 2.70 | 2.91 | 3.03 | 3.16 | 3.28 | 3.19 | 3.07 | 2.95 | 2.94 | 2.86 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $12,280,000K ÷ $4,534,100K
= 2.71
Equifax, Inc.'s financial leverage ratio has shown some fluctuations over the past eight quarters. The ratio indicates the company's level of financial leverage, specifically measuring the extent to which the company relies on debt to finance its operations.
The trend of Equifax's financial leverage ratio from Q4 2022 to Q4 2023 shows a slight decrease, suggesting a potential improvement in the company's financial position as it has reduced its reliance on debt compared to the previous year.
However, the ratio still remains relatively high, consistently above 2.5 throughout the period, indicating that Equifax continues to have a significant amount of debt in its capital structure. It is important to monitor this ratio closely to ensure that the company's debt levels are sustainable and do not pose a risk to its financial stability in the long term.