MaxLinear Inc (MXL)

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	1,080,260	1,103,790	1,161,480	1,198,480	1,180,020	1,182,700	1,180,690	1,099,130	1,050,380	1,053,890	1,026,630	998,599	1,022,440	1,007,780	693,060	693,425	705,791	706,765	729,160	748,882
Total stockholders’ equity	US$ in thousands	686,265	702,677	746,047	734,112	676,385	615,881	569,597	527,846	489,198	457,543	433,667	420,778	391,117	396,808	401,975	408,157	414,920	413,351	411,376	408,204
Financial leverage ratio		1.57	1.57	1.56	1.63	1.74	1.92	2.07	2.08	2.15	2.30	2.37	2.37	2.61	2.54	1.72	1.70	1.70	1.71	1.77	1.83

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,080,260K ÷ $686,265K
= 1.57

The financial leverage ratio of MaxLinear Inc has shown some fluctuations over the past eight quarters. The ratio, which measures the company's use of debt to finance its assets, stood at 1.57 at the end of both December 2023 and September 2023, indicating a stable level of leverage during this period.

However, in the preceding quarters, there was a slight decrease in the ratio to 1.56 in June 2023, followed by a notable increase to 1.74 in December 2022, 1.92 in September 2022, and 2.07 in June 2022. This suggests that the company's reliance on debt as a source of financing increased significantly during this period, potentially leading to higher financial risk.

The ratio then decreased to 1.63 in March 2023, showing a slight improvement in the company's leverage position compared to the preceding quarters. However, it is worth noting that the ratio remained relatively high in comparison to earlier periods.

The most recent data indicates a moderate level of financial leverage, but the company's financial management may require continued monitoring to ensure a sustainable capital structure and mitigate excessive risk associated with high levels of debt.