Ingredion Incorporated (INGR)
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 | 7,642,000 | 7,549,000 | 7,600,000 | 7,645,000 | 7,561,000 | 7,403,000 | 7,389,000 | 7,435,000 | 6,999,000 | 6,986,000 | 7,098,000 | 6,803,000 | 6,858,000 | 6,464,000 | 6,611,000 | 5,952,000 | 6,040,000 | 6,095,000 | 5,998,000 | 5,932,000 |
| Total stockholders’ equity | US$ in thousands | 3,538,000 | 3,364,000 | 3,377,000 | 3,263,000 | 3,147,000 | 3,066,000 | 3,146,000 | 3,293,000 | 3,100,000 | 3,084,000 | 2,822,000 | 2,637,000 | 2,951,000 | 2,744,000 | 2,646,000 | 2,606,000 | 2,720,000 | 2,593,000 | 2,596,000 | 2,522,000 |
| Financial leverage ratio | 2.16 | 2.24 | 2.25 | 2.34 | 2.40 | 2.41 | 2.35 | 2.26 | 2.26 | 2.27 | 2.52 | 2.58 | 2.32 | 2.36 | 2.50 | 2.28 | 2.22 | 2.35 | 2.31 | 2.35 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $7,642,000K ÷ $3,538,000K
= 2.16
Ingredion Inc's financial leverage ratio has shown a fluctuating trend over the past eight quarters, ranging from 2.16 to 2.41. The financial leverage ratio indicates the company's level of debt relative to its equity. A higher ratio suggests higher financial leverage and greater reliance on debt financing.
Analyzing the trend, we observe that the financial leverage ratio increased from Q1 2022 to Q4 2022, reaching its peak at 2.41. This may indicate that the company took on more debt during this period. However, from Q1 2023 onwards, the ratio has been declining, suggesting a decrease in the company's debt relative to equity.
Overall, the financial leverage ratio of Ingredion Inc has remained relatively stable within the range of 2.16 to 2.41. It is important for the company to carefully manage its leverage to maintain a healthy balance between debt and equity and ensure financial stability and solvency in the long term.
Peer comparison
Dec 31, 2023