Floor & Decor Holdings Inc (FND)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 4,662,550 | 4,351,240 | 3,730,700 | 2,880,420 | 2,324,310 |
| Total stockholders’ equity | US$ in thousands | 1,930,990 | 1,657,180 | 1,323,200 | 997,388 | 764,336 |
| Financial leverage ratio | 2.41 | 2.63 | 2.82 | 2.89 | 3.04 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,662,550K ÷ $1,930,990K
= 2.41
Floor & Decor Holdings Inc's financial leverage ratio has shown a declining trend over the past five years, decreasing from 3.04 in 2019 to 2.41 in 2023. This indicates that the company has been reducing its reliance on debt to finance its operations and investments. A lower financial leverage ratio generally suggests a lower level of financial risk and a more stable financial position. It shows that the company has been able to either increase its equity base or decrease its debt levels, leading to a more conservative capital structure. This trend may indicate improved financial health and a stronger ability to weather economic uncertainties compared to previous years.
Peer comparison
Dec 31, 2023