Liquidity Services Inc (LQDT)

Financial leverage ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total assets	US$ in thousands	278,425	288,970	283,027	283,097	269,201	288,104	282,810	276,819	286,878	255,576	238,403	217,583	205,254	196,634	198,864	182,072	179,196	187,283	190,668	193,109
Total stockholders’ equity	US$ in thousands	165,379	161,533	155,809	151,074	154,953	154,536	144,669	132,989	137,079	135,015	116,561	106,938	115,063	111,815	110,238	108,112	112,437	116,175	121,113	124,465
Financial leverage ratio		1.68	1.79	1.82	1.87	1.74	1.86	1.95	2.08	2.09	1.89	2.05	2.03	1.78	1.76	1.80	1.68	1.59	1.61	1.57	1.55

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $278,425K ÷ $165,379K
= 1.68

The financial leverage ratio of Liquidity Services Inc has been fluctuating over the past few quarters. It decreased from 1.95 in Q3 2022 to 1.68 in Q1 2024, which indicates a reduction in the company's reliance on debt to finance its operations. However, the ratio increased in Q4 2023 to 1.79 and peaked at 2.08 in Q2 2022, suggesting higher financial risk due to increased debt in those periods. Overall, the trend shows some volatility in the company's capital structure over the analyzed period. Further analysis and comparison with industry benchmarks are recommended to better understand the implications of Liquidity Services Inc's financial leverage ratio on its financial health and risk profile.