General Mills Inc (GIS)

Financial leverage ratio

		Feb 28, 2025	Nov 30, 2024	Aug 31, 2024	May 31, 2024	May 26, 2024	Feb 29, 2024	Feb 25, 2024	Nov 30, 2023	Nov 26, 2023	Aug 31, 2023	Aug 27, 2023	May 31, 2023	May 28, 2023	Feb 28, 2023	Feb 26, 2023	Nov 30, 2022	Nov 27, 2022	Aug 31, 2022	Aug 28, 2022	May 31, 2022
Total assets	US$ in thousands	32,706,200	33,396,100	31,769,200	31,469,900	31,469,900	30,860,500	30,860,500	31,233,400	31,233,400	31,319,700	31,319,700	31,451,700	31,451,700	31,199,800	31,199,800	31,319,800	31,319,800	31,107,200	31,107,200	31,488,400
Total stockholders’ equity	US$ in thousands	9,263,200	9,200,700	9,275,600	9,396,700	9,396,700	9,436,800	9,436,800	9,378,800	9,378,800	10,262,400	10,262,400	10,449,600	10,449,600	10,234,500	10,234,500	10,121,200	10,121,200	10,574,800	10,574,800	10,542,400
Financial leverage ratio		3.53	3.63	3.43	3.35	3.35	3.27	3.27	3.33	3.33	3.05	3.05	3.01	3.01	3.05	3.05	3.09	3.09	2.94	2.94	2.99

February 28, 2025 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $32,706,200K ÷ $9,263,200K
= 3.53

General Mills Inc's financial leverage ratio has shown some fluctuation over the periods provided. The financial leverage ratio is a measure of how much debt a company is using to finance its assets relative to its equity.

The ratio increased from 2.99 in May 2022 to a peak of 3.63 in November 2024. This indicates that the company has been taking on more debt relative to its equity during this period. A higher financial leverage ratio can indicate higher financial risk as the company has more debt obligations to meet.

Investors and creditors often keep an eye on the financial leverage ratio to assess the company's ability to meet its financial obligations and evaluate its overall financial health. It is crucial for General Mills Inc to monitor and manage its financial leverage ratio to ensure it maintains a healthy balance between debt and equity financing.