Frontier Communications Parent Inc (FYBR)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 20,614,000 | 20,693,000 | 18,624,000 | 16,481,000 | 16,795,000 |
| Total stockholders’ equity | US$ in thousands | 2,524,000 | 5,279,000 | 5,134,000 | 4,600,000 | -4,900,000 |
| Financial leverage ratio | 8.17 | 3.92 | 3.63 | 3.58 | — |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $20,614,000K ÷ $2,524,000K
= 8.17
Frontier Communications Parent Inc's financial leverage ratio has shown a significant increase over the years. As of December 31, 2021, the ratio was 3.58, indicating that the company's reliance on debt to finance its operations has been moderate. However, by December 31, 2024, the ratio had surged to 8.17, suggesting a substantial escalation in the proportion of debt in the company's capital structure. This trend may raise concerns about the company's financial risk and ability to meet its debt obligations, as a higher financial leverage ratio implies a greater level of financial leverage and potential financial distress. Management should carefully monitor and manage Frontier Communications Parent Inc's debt levels to ensure sustainable financial health.
Peer comparison
Dec 31, 2024