FTI Consulting Inc (FCN)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,325,880 | 3,241,410 | 3,100,910 | 2,777,360 | 2,783,140 |
| Total stockholders’ equity | US$ in thousands | 1,981,420 | 1,681,720 | 1,583,320 | 1,400,180 | 1,489,140 |
| Financial leverage ratio | 1.68 | 1.93 | 1.96 | 1.98 | 1.87 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,325,880K ÷ $1,981,420K
= 1.68
The financial leverage ratio of FTI Consulting Inc. has exhibited a fluctuating trend over the past five years. The ratio decreased from 1.98 in 2020 to 1.87 in 2019, before increasing to 1.96 in 2021 and further to 1.93 in 2022. However, in 2023, there was a notable decline to 1.68, indicating a lower reliance on debt to finance the company's operations compared to the previous year. This reduction in the financial leverage ratio suggests that FTI Consulting Inc. may have reduced its debt levels or increased its equity, leading to a healthier financial structure with potentially lower financial risk.
Peer comparison
Dec 31, 2023