Lear Corporation (LEA)

Financial leverage ratio

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Total assets US$ in thousands 14,027,500 14,695,500 13,763,000 13,352,400 13,198,600
Total stockholders’ equity US$ in thousands 2,863,900 4,918,800 4,830,300 4,808,400 4,614,900
Financial leverage ratio 4.90 2.99 2.85 2.78 2.86

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $14,027,500K ÷ $2,863,900K
= 4.90

The financial leverage ratio of Lear Corporation has shown fluctuations over the years. It stood at 2.86 as of December 31, 2020, and decreased slightly to 2.78 by December 31, 2021. Thereafter, it increased to 2.85 by December 31, 2022, and further to 2.99 by December 31, 2023. Notably, there was a significant jump to 4.90 by December 31, 2024, indicating a substantial increase in financial leverage at that point in time. Overall, the trend suggests varying levels of leverage utilized by Lear Corporation during the period under consideration.