LivaNova PLC (LIVN)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 2,429,560 | 2,294,770 | 2,200,950 | 2,399,960 | 2,411,800 |
| Total stockholders’ equity | US$ in thousands | 1,277,630 | 1,207,620 | 1,294,640 | 1,109,260 | 1,377,960 |
| Financial leverage ratio | 1.90 | 1.90 | 1.70 | 2.16 | 1.75 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,429,560K ÷ $1,277,630K
= 1.90
The financial leverage ratio of LivaNova PLC has shown some fluctuation over the past five years. The ratio was 1.74 in 2019, increased to 2.16 in 2020, then decreased to 1.70 in 2021, remained stable at 1.90 in both 2022 and 2023. This indicates that the company has been utilizing debt as a source of financing and has experienced varying levels of leverage over the years. Overall, the company's financial leverage ratio has been moderately high, suggesting a significant reliance on debt to finance its operations and investment activities. Further analysis of the company's debt structure and ability to service its debt obligations would provide a more comprehensive understanding of its financial leverage position.
Peer comparison
Dec 31, 2023