MGM Resorts International (MGM)
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 | 42,368,500 | 42,572,500 | 42,905,800 | 43,542,200 | 45,692,200 | 47,330,200 | 48,432,100 | 38,650,000 | 40,899,100 | 41,338,300 | 36,776,400 | 37,330,800 | 36,494,900 | 37,004,800 | 37,471,300 | 39,118,900 | 33,876,400 | 31,168,900 | 30,813,700 | 31,146,900 |
| Total stockholders’ equity | US$ in thousands | 3,811,170 | 3,965,720 | 4,416,170 | 4,839,660 | 4,831,530 | 4,841,690 | 5,733,570 | 5,065,340 | 6,070,640 | 6,829,950 | 6,180,180 | 6,306,830 | 6,504,730 | 6,861,100 | 7,374,790 | 8,173,910 | 7,727,260 | 6,060,550 | 6,520,480 | 6,786,200 |
| Financial leverage ratio | 11.12 | 10.74 | 9.72 | 9.00 | 9.46 | 9.78 | 8.45 | 7.63 | 6.74 | 6.05 | 5.95 | 5.92 | 5.61 | 5.39 | 5.08 | 4.79 | 4.38 | 5.14 | 4.73 | 4.59 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $42,368,500K ÷ $3,811,170K
= 11.12
MGM Resorts International's financial leverage ratio has exhibited some fluctuations over the past eight quarters. The ratio, which indicates the extent to which a company relies on debt financing, increased from 9.46 in Q4 2022 to a peak of 11.12 in Q4 2023, suggesting a higher level of debt relative to equity in the latest quarter.
Subsequently, the financial leverage ratio declined to 10.74 in Q3 2023, continued to decrease to 9.72 in Q2 2023, and further decreased to 9.00 in Q1 2023. These decreasing trends may indicate a reduction in leverage and potentially a more conservative approach to debt management during these quarters.
Comparing the most recent ratios to those of a year ago in Q1 2022, there has been a noticeable increase in the financial leverage ratio, indicating a higher level of debt relative to equity in MGM Resorts International's capital structure. The ratio has significantly risen from 7.63 in Q1 2022 to 11.12 in Q4 2023, reflecting a substantial increase in leverage over this period.
Overall, the analysis of MGM Resorts International's financial leverage ratio suggests fluctuations in the company's debt-to-equity structure over the past eight quarters, highlighting the importance of closely monitoring leverage levels to assess the firm's risk and financial health.
Peer comparison
Dec 31, 2023