Harmonic Inc (HLIT)
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 | 796,506 | 759,861 | 713,696 | 740,670 | 768,206 | 673,811 | 690,352 | 703,815 | 710,018 | 697,871 | 698,459 | 700,445 | 693,686 | 643,866 | 651,240 | 609,709 | 591,523 | 559,422 | 557,521 | 576,275 |
| Total stockholders’ equity | US$ in thousands | 465,258 | 428,937 | 392,808 | 409,154 | 436,874 | 340,800 | 342,801 | 335,786 | 324,506 | 300,621 | 296,836 | 284,653 | 296,796 | 274,796 | 267,324 | 261,334 | 258,302 | 234,538 | 230,282 | 238,099 |
| Financial leverage ratio | 1.71 | 1.77 | 1.82 | 1.81 | 1.76 | 1.98 | 2.01 | 2.10 | 2.19 | 2.32 | 2.35 | 2.46 | 2.34 | 2.34 | 2.44 | 2.33 | 2.29 | 2.39 | 2.42 | 2.42 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $796,506K ÷ $465,258K
= 1.71
Harmonic Inc's financial leverage ratio has shown a gradual decline over the years, starting at a level of 2.42 in March 2020 and decreasing to 1.71 by December 2024. This downward trend indicates a decreasing reliance on debt to fund the company's operations and growth. A lower financial leverage ratio suggests a healthier financial position, as the company is less exposed to the risks associated with high levels of debt. However, it is important to note that a very low financial leverage ratio may also imply underutilization of debt financing and potential missed opportunities for leveraging growth. Overall, the decreasing trend in Harmonic Inc's financial leverage ratio signals a conservative approach towards debt management.
Peer comparison
Dec 31, 2024