National Presto Industries Inc (NPK)
Financial leverage ratio
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 453,397 | 453,397 | 428,902 | 418,097 | 417,455 | 443,323 | 415,969 | 401,805 | 395,879 | 411,847 | 407,443 | 393,982 | 388,514 | 420,398 | 425,909 | 406,535 | 395,231 | 433,170 | 410,678 | 406,320 |
| Total stockholders’ equity | US$ in thousands | 367,627 | 367,627 | 346,576 | 338,085 | 331,638 | 356,256 | 342,682 | 335,296 | 329,482 | 348,052 | 345,525 | 336,372 | 329,391 | 357,623 | 354,071 | 349,690 | 340,119 | 374,348 | 360,047 | 347,695 |
| Financial leverage ratio | 1.23 | 1.23 | 1.24 | 1.24 | 1.26 | 1.24 | 1.21 | 1.20 | 1.20 | 1.18 | 1.18 | 1.17 | 1.18 | 1.18 | 1.20 | 1.16 | 1.16 | 1.16 | 1.14 | 1.17 |
March 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $453,397K ÷ $367,627K
= 1.23
The financial leverage ratio of National Presto Industries Inc has been relatively stable over the past few years, ranging between 1.14 and 1.26. This ratio measures the company's use of debt to finance its operations in comparison to its equity. A financial leverage ratio of 1 indicates an equal proportion of debt and equity in the company's capital structure.
National Presto Industries Inc's financial leverage ratio has generally remained around the 1.2 mark, indicating a slightly higher reliance on debt compared to equity. This implies that the company is utilizing a moderate level of debt to support its growth and operations. It is important to note that a higher financial leverage ratio can increase financial risk, as the company would have higher interest payments to make in the future.
Overall, the stability of National Presto Industries Inc's financial leverage ratio suggests that the company has been managing its debt levels consistently over the analyzed period. However, it is essential for stakeholders to monitor the trend of this ratio to ensure that the company's capital structure remains sustainable and optimal for its long-term financial health.
Peer comparison
Mar 31, 2025