Gentex Corporation (GNTX)

Financial leverage ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total assets	US$ in thousands	2,611,440	2,558,320	2,487,110	2,433,350	2,327,230	2,311,320	2,284,450	2,180,380	2,131,390	2,116,430	2,166,800	2,242,450	2,197,940	2,192,480	2,101,040	2,158,100	2,168,800	2,167,300	2,142,800	2,100,370
Total stockholders’ equity	US$ in thousands	2,312,520	2,268,450	2,195,950	2,123,260	2,065,790	2,034,050	1,986,570	1,928,970	1,937,990	1,887,630	1,916,320	1,960,980	1,963,940	1,895,610	1,822,610	1,834,610	1,938,090	1,921,330	1,904,330	1,857,080
Financial leverage ratio		1.13	1.13	1.13	1.15	1.13	1.14	1.15	1.13	1.10	1.12	1.13	1.14	1.12	1.16	1.15	1.18	1.12	1.13	1.13	1.13

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,611,440K ÷ $2,312,520K
= 1.13

The financial leverage ratio of Gentex Corp. has been relatively stable over the past eight quarters, ranging from 1.13 to 1.15. A financial leverage ratio of 1.13 to 1.15 indicates that the company relies more on equity financing rather than debt financing to fund its operations and investments. This moderate level of leverage suggests that Gentex Corp. has a healthy balance between equity and debt in its capital structure, which can be advantageous in terms of financial stability and risk management. However, it is important for the company to monitor its financial leverage ratio over time to ensure that it remains at an optimal level for sustainable growth and profitability.