Helen of Troy Ltd (HELE)
Financial leverage ratio
| Feb 28, 2025 | Nov 30, 2024 | Aug 31, 2024 | May 31, 2024 | Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,132,080 | 2,973,130 | 2,880,380 | 2,820,950 | 2,838,620 | 2,952,290 | 2,901,660 | 2,872,830 | 2,913,720 | 3,129,420 | 3,225,210 | 3,144,250 | 2,823,450 | 2,487,400 | 2,400,160 | 2,348,090 | 2,263,490 | 2,311,740 | 2,174,190 | 1,975,690 |
| Total stockholders’ equity | US$ in thousands | 1,683,440 | 1,628,180 | 1,567,580 | 1,549,500 | 1,637,440 | 1,586,280 | 1,501,880 | 1,514,910 | 1,488,810 | 1,457,070 | 1,398,350 | 1,356,420 | 1,327,340 | 1,354,960 | 1,267,820 | 1,202,080 | 1,239,350 | 1,210,440 | 1,308,530 | 1,221,750 |
| Financial leverage ratio | 1.86 | 1.83 | 1.84 | 1.82 | 1.73 | 1.86 | 1.93 | 1.90 | 1.96 | 2.15 | 2.31 | 2.32 | 2.13 | 1.84 | 1.89 | 1.95 | 1.83 | 1.91 | 1.66 | 1.62 |
February 28, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,132,080K ÷ $1,683,440K
= 1.86
The financial leverage ratio of Helen of Troy Ltd has shown fluctuations over the period from May 31, 2020, to February 28, 2025. The ratio indicates the company's reliance on debt financing relative to its equity.
The trend in the financial leverage ratio shows an increase from 1.62 as of May 31, 2020, to a peak of 2.32 as of May 31, 2022. This increase suggests that the company has been taking on more debt compared to equity during this period.
Subsequently, the ratio decreased to 1.73 as of February 28, 2024, signaling a reduction in the company's debt relative to its equity. However, it slightly increased to 1.86 as of February 28, 2025.
Overall, the financial leverage ratio of Helen of Troy Ltd indicates that the company has experienced fluctuations in its debt-to-equity mix over the years, which may have implications for its financial risk and cost of capital.