MDU Resources Group Inc (MDU)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 7,833,160 | 9,660,780 | 8,910,440 | 8,053,370 | 7,683,060 |
| Total stockholders’ equity | US$ in thousands | 2,905,230 | 3,587,130 | 3,382,870 | 3,079,100 | 2,847,250 |
| Financial leverage ratio | 2.70 | 2.69 | 2.63 | 2.62 | 2.70 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $7,833,160K ÷ $2,905,230K
= 2.70
MDU Resources Group Inc's financial leverage ratio has shown slight fluctuations over the past five years. The ratio increased from 2.62 in 2020 to 2.70 in 2021, before slightly decreasing to 2.69 in 2022 and then increasing again to 2.70 in 2023. Overall, the company's financial leverage ratio has remained relatively stable, indicating that the company has been using a consistent level of debt financing relative to its equity to fund its operations and investments. A higher financial leverage ratio suggests higher financial risk due to increased dependence on debt, while a lower ratio indicates a conservative financial structure. It is important for investors and stakeholders to monitor changes in the financial leverage ratio over time to assess the company's risk profile and financial health.
Peer comparison
Dec 31, 2023