Jazz Pharmaceuticals PLC (JAZZ)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 11,393,400 | 10,835,300 | 12,298,600 | 6,535,900 | 5,538,900 |
| Total stockholders’ equity | US$ in thousands | 3,737,000 | 3,085,730 | 3,965,190 | 3,659,740 | 3,110,980 |
| Financial leverage ratio | 3.05 | 3.51 | 3.10 | 1.79 | 1.78 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $11,393,400K ÷ $3,737,000K
= 3.05
The financial leverage ratio for Jazz Pharmaceuticals plc has exhibited fluctuations over the past five years. The ratio stood at 3.05 in 2023, showing a decrease from the previous year's level of 3.51 in 2022. This indicates that the company relied less on debt financing compared to the prior year.
In 2021, the financial leverage ratio was 3.10, slightly higher than the 2020 figure of 1.79. This increase suggests that Jazz Pharmaceuticals plc had a higher proportion of debt in its capital structure in 2021.
Notably, in 2019, the financial leverage ratio was consistent with the 2020 level at 1.78, indicating a relatively stable debt position in the company's capital structure over these two years.
Overall, the financial leverage ratio for Jazz Pharmaceuticals plc has shown variability, with the company altering its reliance on debt financing over the period under review. This highlights the importance of monitoring leverage ratios to assess the company's risk and financial health.
Peer comparison
Dec 31, 2023