Matson Inc (MATX)

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	4,294,600	4,292,800	4,218,100	4,227,300	4,330,000	4,459,000	4,158,600	3,977,500	3,693,100	3,222,800	3,036,200	2,929,700	2,900,600	2,806,700	2,777,600	2,835,900	2,845,400	2,753,800	2,657,500	2,676,800
Total stockholders’ equity	US$ in thousands	2,400,700	2,390,300	2,290,000	2,270,300	2,296,900	2,298,600	2,133,600	1,910,700	1,667,400	1,344,800	1,172,800	1,028,900	961,200	891,800	815,500	800,200	805,700	797,700	765,200	763,000
Financial leverage ratio		1.79	1.80	1.84	1.86	1.89	1.94	1.95	2.08	2.21	2.40	2.59	2.85	3.02	3.15	3.41	3.54	3.53	3.45	3.47	3.51

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,294,600K ÷ $2,400,700K
= 1.79

Matson Inc's financial leverage ratio has exhibited a decreasing trend over the past eight quarters, declining from 2.08 in Q1 2022 to 1.79 in Q4 2023. This indicates a decrease in the company's reliance on debt financing to fund its operations and investments. A lower financial leverage ratio suggests a stronger financial position and lower risk of default, as the company has a smaller proportion of debt in its capital structure compared to equity. Matson Inc's management may have been focusing on reducing debt levels or increasing equity in the business to improve its financial stability and flexibility. However, it is essential to continue monitoring this trend to ensure the company maintains an optimal level of leverage that balances risk and returns effectively.