Exelixis Inc (EXEL)

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	2,947,690	2,960,280	2,773,120	2,803,750	2,942,360	2,976,910	3,142,470	3,143,360	3,071,490	2,961,370	2,881,400	2,654,120	2,616,240	2,447,740	2,367,270	2,190,540	2,137,330	2,111,040	2,046,550	1,955,600
Total stockholders’ equity	US$ in thousands	2,244,200	2,275,420	2,119,730	2,128,010	2,263,910	2,347,620	2,527,940	2,555,140	2,488,430	2,491,400	2,391,260	2,293,850	2,210,620	2,112,450	2,043,080	1,911,190	1,879,110	1,852,030	1,833,320	1,747,650
Financial leverage ratio		1.31	1.30	1.31	1.32	1.30	1.27	1.24	1.23	1.23	1.19	1.20	1.16	1.18	1.16	1.16	1.15	1.14	1.14	1.12	1.12

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,947,690K ÷ $2,244,200K
= 1.31

Exelixis Inc's financial leverage ratio has shown a generally increasing trend over the period from March 31, 2020, to December 31, 2024. The ratio started at 1.12 in March 2020 and increased to 1.31 by December 2024. This indicates that the company has been gradually relying more on debt financing compared to equity financing.

There were some fluctuations in the ratio during the period, with slight increases and decreases in some quarters. However, the overall trend has been upwards, reaching a peak of 1.32 in March 2024 before slightly decreasing in the subsequent quarters.

A financial leverage ratio above 1 suggests that the company has more debt than equity in its capital structure. This could potentially increase the financial risk for the company, as higher debt levels typically come with higher interest payments and potential liquidity challenges. It is important for stakeholders to monitor this trend to ensure the company's financial health and stability in the long term.