Helix Energy Solutions Group Inc (HLX)

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	2,556,040	2,434,750	2,423,840	2,369,330	2,389,340	2,355,500	2,213,650	2,307,370	2,326,030	2,347,300	2,417,710	2,421,750	2,498,280	2,505,470	2,484,670	2,514,150	2,596,730	2,613,510	2,620,220	2,607,320
Total stockholders’ equity	US$ in thousands	1,501,000	1,530,520	1,531,930	1,515,720	1,516,710	1,481,850	1,531,790	1,592,750	1,647,470	1,669,660	1,700,060	1,707,460	1,740,500	1,705,490	1,654,700	1,649,060	1,699,590	1,679,020	1,648,400	1,629,840
Financial leverage ratio		1.70	1.59	1.58	1.56	1.58	1.59	1.45	1.45	1.41	1.41	1.42	1.42	1.44	1.47	1.50	1.52	1.53	1.56	1.59	1.60

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,556,040K ÷ $1,501,000K
= 1.70

The financial leverage ratio of Helix Energy Solutions Group Inc has shown some variation over the past eight quarters, ranging from 1.45 to 1.70. Generally, a financial leverage ratio of above 1 indicates that the company has more debt than equity in its capital structure, which suggests a higher level of financial risk.

The trend in the financial leverage ratio shows an increasing trend from Q1 2022 to Q4 2023, with a peak of 1.70 in Q4 2023. This indicates a potential increase in the company's reliance on debt to finance its operations and investments.

It is important for investors and stakeholders to closely monitor the financial leverage ratio as excessive leverage can lead to financial distress, especially in periods of economic downturn or rising interest rates. The company may need to carefully manage its debt levels to maintain a healthy balance between debt and equity to ensure long-term financial sustainability.