Green Plains Renewable Energy Inc (GPRE)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,782,170 | 1,939,320 | 2,123,130 | 2,159,760 | 1,578,920 |
| Total stockholders’ equity | US$ in thousands | 865,215 | 843,733 | 910,031 | 950,500 | 646,852 |
| Financial leverage ratio | 2.06 | 2.30 | 2.33 | 2.27 | 2.44 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,782,170K ÷ $865,215K
= 2.06
The financial leverage ratio of Green Plains Renewable Energy Inc declined from 2.44 in December 31, 2020, to 2.06 in December 31, 2024. This indicates that the company has been gradually reducing its reliance on debt to finance its operations over the years. However, it is important to note that the ratio fluctuated between 2.27 to 2.33 during the period 2021 to 2023 before reaching 2.06 in 2024. Overall, the downward trend in the financial leverage ratio suggests that the company's financial risk has been decreasing, reflecting a more conservative approach to capital structure management.
Peer comparison
Dec 31, 2024