La-Z-Boy Incorporated (LZB)
Financial leverage ratio
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Apr 27, 2024 | Jan 31, 2024 | Jan 27, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,922,160 | 1,958,880 | 1,928,200 | 1,917,620 | 1,913,440 | 1,913,440 | 1,918,290 | 1,918,290 | 1,880,020 | 1,880,020 | 1,847,580 | 1,847,580 | 1,866,260 | 1,866,260 | 1,846,360 | 1,846,360 | 1,857,540 | 1,857,540 | 1,918,980 | 1,918,980 |
| Total stockholders’ equity | US$ in thousands | 1,020,620 | 1,021,270 | 1,009,920 | 999,209 | 1,003,060 | 1,003,060 | 978,220 | 978,220 | 964,283 | 964,283 | 953,262 | 953,262 | 941,836 | 941,836 | 906,098 | 906,098 | 874,658 | 874,658 | 835,262 | 835,262 |
| Financial leverage ratio | 1.88 | 1.92 | 1.91 | 1.92 | 1.91 | 1.91 | 1.96 | 1.96 | 1.95 | 1.95 | 1.94 | 1.94 | 1.98 | 1.98 | 2.04 | 2.04 | 2.12 | 2.12 | 2.30 | 2.30 |
April 30, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,922,160K ÷ $1,020,620K
= 1.88
The financial leverage ratio of La-Z-Boy Incorporated exhibits a declining trend over the analyzed period from July 2022 through April 2025. Initially, the ratio stood at approximately 2.30, indicating that the company was leveraging its equity with a significant amount of debt relative to its equity base. After this initial period, a gradual decrease is observed, reaching around 1.91 by April 2024.
This downward movement suggests a reduction in the company's reliance on debt financing relative to equity, potentially reflecting efforts to strengthen the balance sheet or a strategic shift toward lower leverage. Throughout the subsequent months, the leverage ratio remains relatively stable, fluctuating slightly within the range of approximately 1.88 to 1.96, which indicates a period of financial stability with a modest offset toward slightly lower leverage levels.
Overall, the trend signals a cautious approach by La-Z-Boy in managing its debt levels, possibly aiming to improve financial flexibility or reduce financial risk. The ratio remaining below 2.0 towards the end of the period implies a moderate leverage position, aligning with prudent financial management practices.
Peer comparison
Apr 30, 2025