Northwest Natural Gas Co (NWN)

Financial leverage ratio

		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	Mar 31, 2020
Total assets	US$ in thousands	5,234,320	4,944,370	4,822,370	4,849,070	4,934,590	4,665,120	4,536,700	4,592,100	4,748,330	4,300,710	4,100,520	4,054,630	4,064,600	3,929,220	3,783,500	3,758,620	3,756,380	3,618,100	3,641,350	4,001,530
Total stockholders’ equity	US$ in thousands	1,385,370	1,219,890	1,346,720	1,343,390	1,283,840	1,219,540	1,240,280	1,248,310	1,175,440	1,120,860	1,138,780	987,944	935,146	891,461	922,826	936,324	888,733	852,775	884,001	901,741
Financial leverage ratio		3.78	4.05	3.58	3.61	3.84	3.83	3.66	3.68	4.04	3.84	3.60	4.10	4.35	4.41	4.10	4.01	4.23	4.24	4.12	4.44

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $5,234,320K ÷ $1,385,370K
= 3.78

The financial leverage ratio of Northwest Natural Gas Co has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio decreased from 4.44 on March 31, 2020, to 3.60 on June 30, 2022, indicating a potential reduction in the company's reliance on debt to finance its operations.

However, there was an increase in the ratio to 4.05 on September 30, 2024, suggesting a higher level of leverage compared to the previous period. Overall, the trend in the financial leverage ratio of Northwest Natural Gas Co reflects variability in its capital structure and financing strategies during the analyzed period.

Investors and stakeholders may closely monitor this ratio to assess the company's risk exposure and its ability to meet financial obligations efficiently. It is essential for the company to maintain a balanced level of leverage to ensure sustainable growth and mitigate financial risks.