Fortrea Holdings Inc. (FTRE)
Financial leverage ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | ||
|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,579,200 | 3,663,700 | 3,565,400 | 4,240,200 |
| Total stockholders’ equity | US$ in thousands | 1,362,400 | 1,513,500 | 1,461,100 | 1,591,900 |
| Financial leverage ratio | 2.63 | 2.42 | 2.44 | 2.66 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,579,200K ÷ $1,362,400K
= 2.63
The financial leverage ratio of Fortrea Holdings Inc. has shown some fluctuations over the year 2024. Starting at 2.66 in March, it decreased to 2.44 by June and further to 2.42 by September. However, by the end of December, the ratio rose again to 2.63. This indicates that the company relies more on debt financing rather than equity to fund its operations and growth. The fluctuations in the ratio suggest potential shifts in the capital structure and financial risk profile of the company throughout the year. It is important for stakeholders to monitor the company's financial leverage and assess its ability to meet debt obligations while maintaining profitability and growth.
Peer comparison
Dec 31, 2024