Stride Inc (LRN)

Financial leverage ratio

Jun 30, 2025 Jun 30, 2024 Jun 30, 2023 Jun 30, 2022 Jun 30, 2021
Total assets US$ in thousands 2,293,960 1,920,460 1,760,670 1,643,540 1,577,300
Total stockholders’ equity US$ in thousands 1,479,620 1,176,020 947,296 812,581 804,648
Financial leverage ratio 1.55 1.63 1.86 2.02 1.96

June 30, 2025 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,293,960K ÷ $1,479,620K
= 1.55

The financial leverage ratio of Stride Inc. has exhibited a notable variation over the analyzed period from June 30, 2021, to June 30, 2025. As of June 30, 2021, the ratio stood at 1.96, indicating a moderate level of debt relative to equity. This ratio increased slightly to 2.02 by June 30, 2022, suggesting a marginal increase in leverage during that period. However, subsequent periods reveal a downward trend: the ratio decreased to 1.86 by June 30, 2023, further declining to 1.63 on June 30, 2024, and reaching 1.55 by June 30, 2025. Overall, the data indicates a decreasing trend in financial leverage over the four-year span, reflecting a gradual reduction in the company's reliance on debt financing relative to equity. This trend may point towards an effort to de-leverage, potentially to improve financial stability or mitigate risk.