NetScout Systems Inc (NTCT)
Financial leverage ratio
Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
---|---|---|---|---|---|---|
Total assets | US$ in thousands | 2,186,580 | 2,595,300 | 2,820,560 | 3,194,710 | 3,085,040 |
Total stockholders’ equity | US$ in thousands | 1,560,400 | 1,892,060 | 2,029,650 | 2,060,400 | 2,005,780 |
Financial leverage ratio | 1.40 | 1.37 | 1.39 | 1.55 | 1.54 |
March 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,186,580K ÷ $1,560,400K
= 1.40
NetScout Systems Inc's financial leverage ratio has exhibited a somewhat stable trend over the past few years. It stood at 1.54 as of March 31, 2021, and has gradually increased to 1.55 by March 31, 2022. However, in the subsequent years, there has been a slight decrease noted in the ratio, with values of 1.39 as of March 31, 2023, 1.37 as of March 31, 2024, and 1.40 as of March 31, 2025.
This indicates that the company's reliance on debt as a source of financing relative to equity has fluctuated within a narrow range, suggesting a balanced capital structure. The decrease in the financial leverage ratio in the later years may imply that NetScout Systems Inc has been managing its debt levels effectively or has been increasing its equity base. Monitoring this ratio over time can provide insights into the company's financial risk, solvency, and overall capital structure.
Peer comparison
Mar 31, 2025