Hess Corporation (HES)
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 | 26,551,000 | 26,233,000 | 25,810,000 | 24,719,000 | 24,007,000 | 23,201,000 | 22,230,000 | 21,938,000 | 21,729,000 | 21,643,000 | 21,180,000 | 19,798,000 | 20,515,000 | 19,490,000 | 19,131,000 | 18,951,000 | 18,821,000 | 18,969,000 | 19,546,000 | 20,717,000 |
| Total stockholders’ equity | US$ in thousands | 11,424,000 | 10,821,000 | 10,487,000 | 9,868,000 | 8,986,000 | 8,631,000 | 8,272,000 | 8,133,000 | 7,982,000 | 7,559,000 | 7,136,000 | 6,308,000 | 6,300,000 | 5,609,000 | 5,488,000 | 5,616,000 | 5,366,000 | 5,916,000 | 6,395,000 | 7,200,000 |
| Financial leverage ratio | 2.32 | 2.42 | 2.46 | 2.50 | 2.67 | 2.69 | 2.69 | 2.70 | 2.72 | 2.86 | 2.97 | 3.14 | 3.26 | 3.47 | 3.49 | 3.37 | 3.51 | 3.21 | 3.06 | 2.88 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $26,551,000K ÷ $11,424,000K
= 2.32
The financial leverage ratio of Hess Corporation has been fluctuating over the past few years, indicating changes in the company's debt levels relative to its equity. From March 31, 2020, to December 31, 2024, the ratio has shown a decreasing trend, starting at 2.88 and ending at 2.32.
Between March 2020 and December 2021, the ratio steadily increased from 2.88 to 3.51, indicating a higher reliance on debt to finance the company's operations. However, from March 2022 onwards, the ratio began to decline, reaching 2.32 by December 31, 2024. This decreasing trend suggests that Hess Corporation may be reducing its debt levels or increasing its equity, resulting in a lower financial leverage ratio.
Overall, a decreasing financial leverage ratio can indicate a stronger financial position, as it implies lower financial risk and less reliance on borrowed funds. It may also signal improved profitability and stability for the company.
Peer comparison
Dec 31, 2024