Kinder Morgan Inc (KMI)

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	71,407,000	70,879,000	70,702,000	70,736,000	71,020,000	68,862,000	69,073,000	68,931,000	70,078,000	69,992,000	69,390,000	69,135,000	70,416,000	69,640,000	70,175,000	71,208,000	71,973,000	71,821,000	71,784,000	73,530,000
Total stockholders’ equity	US$ in thousands	30,531,000	30,406,000	30,338,000	30,372,000	30,306,000	30,258,000	30,569,000	30,757,000	30,742,000	30,756,000	30,545,000	30,618,000	30,823,000	30,552,000	30,711,000	32,187,000	31,436,000	31,559,000	31,753,000	33,106,000
Financial leverage ratio		2.34	2.33	2.33	2.33	2.34	2.28	2.26	2.24	2.28	2.28	2.27	2.26	2.28	2.28	2.29	2.21	2.29	2.28	2.26	2.22

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $71,407,000K ÷ $30,531,000K
= 2.34

The financial leverage ratio of Kinder Morgan Inc has been relatively stable over the past few years, ranging between 2.21 to 2.34. This ratio indicates that the company relies on a moderate level of debt financing to support its operations and growth initiatives. A financial leverage ratio of around 2 suggests that Kinder Morgan uses approximately $2 of debt for every $1 of equity in its capital structure.

Overall, the consistent range of 2.21 to 2.34 implies that Kinder Morgan's financial structure has been well-balanced, maintaining a prudent level of debt relative to its equity. However, it is essential for stakeholders to monitor any significant deviations in the financial leverage ratio, as a substantial increase in leverage could indicate heightened financial risk for the company.