Godaddy Inc (GDDY)
Financial leverage ratio
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 8,235,400 | 7,997,200 | 7,721,900 | 7,978,800 | 7,564,900 | 6,499,200 | 6,793,900 | 7,092,300 | 6,973,500 | 7,072,900 | 6,904,100 | 6,901,300 | 7,417,100 | 7,298,000 | 7,362,100 | 7,259,300 | 6,432,900 | 6,207,800 | 6,092,100 | 6,162,200 |
| Total stockholders’ equity | US$ in thousands | 692,100 | 356,700 | 157,000 | 414,800 | 62,200 | -976,300 | -667,100 | -357,900 | -331,800 | -278,400 | -447,200 | -470,500 | 81,700 | -102,800 | -33,300 | -72,800 | -12,900 | -164,200 | -261,300 | 480,700 |
| Financial leverage ratio | 11.90 | 22.42 | 49.18 | 19.24 | 121.62 | — | — | — | — | — | — | — | 90.78 | — | — | — | — | — | — | 12.82 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $8,235,400K ÷ $692,100K
= 11.90
The financial leverage ratio of Godaddy Inc has exhibited significant fluctuations over the reported periods. As of December 31, 2021, the ratio was relatively high at 90.78, indicating a high level of financial leverage which suggests that the company relies heavily on debt to finance its operations. This could potentially lead to increased financial risk and volatility.
Subsequently, by March 31, 2024, the financial leverage ratio dropped to 19.24, signaling a decrease in the company's reliance on debt financing. However, there was a notable increase by June 30, 2024, where the ratio rose to 49.18, suggesting a resurgence in leveraging through debt once again.
The ratio decreased to 22.42 by September 30, 2024, and further declined to 11.90 by December 31, 2024. These reductions indicate a potential shift towards a more conservative capital structure with lower debt levels relative to equity.
Overall, the fluctuations in Godaddy Inc's financial leverage ratio demonstrate varying levels of reliance on debt financing throughout the reporting periods. It is essential for investors and stakeholders to closely monitor these changes to assess the company's financial risk and stability.
Peer comparison
Dec 31, 2024