Kennametal Inc (KMT)
Financial leverage ratio
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 2,545,410 | 2,490,500 | 2,435,800 | 2,521,930 | 2,503,760 | 2,518,640 | 2,544,350 | 2,512,760 | 2,547,230 | 2,603,580 | 2,578,600 | 2,516,210 | 2,573,520 | 2,659,510 | 2,610,870 | 2,607,570 | 2,665,760 | 2,614,980 | 2,614,830 | 2,559,000 |
| Total stockholders’ equity | US$ in thousands | 1,283,980 | 1,236,870 | 1,219,980 | 1,277,170 | 1,249,880 | 1,264,560 | 1,287,820 | 1,260,360 | 1,275,450 | 1,276,020 | 1,250,170 | 1,201,400 | 1,252,580 | 1,320,120 | 1,316,020 | 1,324,950 | 1,329,610 | 1,276,410 | 1,279,150 | 1,225,390 |
| Financial leverage ratio | 1.98 | 2.01 | 2.00 | 1.97 | 2.00 | 1.99 | 1.98 | 1.99 | 2.00 | 2.04 | 2.06 | 2.09 | 2.05 | 2.01 | 1.98 | 1.97 | 2.00 | 2.05 | 2.04 | 2.09 |
June 30, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,545,410K ÷ $1,283,980K
= 1.98
The financial leverage ratio of Kennametal Inc demonstrates a relatively stable trend over the analyzed period from September 2020 through June 2025. Starting at 2.09 in September 2020, the ratio experienced slight fluctuations, with minor decreases and increases, reaching a low of 1.97 in September 2021, and peaking at 2.09 again in September 2022. Subsequently, the ratio remained within a narrow band, oscillating between approximately 1.98 and 2.06 through December 2023, indicating a consistent level of financial leverage.
From March 2024 onwards, the ratio stabilized around 2.00, oscillating minimally, and exhibited a marginal decline to 1.97 in September 2024, before returning to approximately 2.00 in December 2024 and March 2025. This consistency reflects a maintained balance in the company's capital structure, suggesting that Kennametal has managed its debt levels and equity in a relatively stable manner over the observed timeframe.
Overall, the data indicates that Kennametal's financial leverage has been steady, with only minor fluctuations, implying a consistent approach to its use of debt relative to equity. This stability may suggest prudent financial management and a generally predictable approach to leveraging within the company’s financial strategy.