Exelixis Inc (EXEL)

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	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	1,885,670	1,784,860	1,643,100	1,541,790
Total stockholders’ equity	US$ in thousands	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	1,685,970	1,603,720	1,488,630	1,385,020
Financial leverage ratio		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	1.12	1.11	1.10	1.11

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,942,360K ÷ $2,263,910K
= 1.30

Exelixis Inc's financial leverage ratio has shown a slight increasing trend over the past few quarters, starting at 1.11 as of March 31, 2019, and reaching 1.30 as of December 31, 2023. This indicates that the company has been gradually increasing its level of financial leverage over time.

A financial leverage ratio of 1.30 as of December 31, 2023, suggests that Exelixis Inc relies more on debt financing to fund its operations compared to its equity. This ratio of 1.30 means that for every $1 of equity in the company, there is $1.30 of debt financing.

Although increasing leverage can potentially amplify returns for shareholders, it also increases financial risk, as the company needs to ensure it can cover its debt obligations, including interest payments. It is important for Exelixis Inc to carefully manage its debt levels to maintain a healthy balance between debt and equity financing and ensure sustainable growth and financial stability.