Norwegian Cruise Line Holdings Ltd (NCLH)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 19,969,800 | 19,493,000 | 18,557,700 | 18,729,800 | 18,399,300 |
| Total stockholders’ equity | US$ in thousands | 1,425,440 | 300,807 | 68,591 | 2,432,650 | 4,354,100 |
| Financial leverage ratio | 14.01 | 64.80 | 270.56 | 7.70 | 4.23 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $19,969,800K ÷ $1,425,440K
= 14.01
The financial leverage ratio of Norwegian Cruise Line Holdings Ltd has exhibited significant fluctuations over the years, as per the provided data.
- As of December 31, 2020, the financial leverage ratio stood at 4.23, indicating that the company's debt levels were relatively moderate compared to its equity.
- By December 31, 2021, the ratio increased substantially to 7.70, suggesting a higher reliance on debt financing to support its operations.
- A significant surge was observed by December 31, 2022, with the financial leverage ratio soaring to 270.56. This indicates an exceptionally high level of debt relative to equity, potentially raising concerns about the company's financial stability and ability to meet its debt obligations.
- The ratio decreased to 64.80 as of December 31, 2023, which may indicate efforts to reduce debt levels or improve equity positions.
- By December 31, 2024, the financial leverage ratio decreased further to 14.01, indicating a continued trend toward reducing the reliance on debt financing.
Overall, the fluctuating trend in the financial leverage ratio of Norwegian Cruise Line Holdings Ltd suggests varying levels of financial risk and management strategies employed by the company over the analyzed period. Investors and stakeholders may view this trend as a reflection of the company's changing capital structure and approach to managing its debt levels.
Peer comparison
Dec 31, 2024