Oceaneering International Inc (OII)

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	2,336,350	2,356,490	2,304,870	2,228,880	2,239,010	2,312,450	2,164,870	2,042,480	2,031,680	1,922,830	1,872,420	1,902,000	1,962,860	1,981,970	2,061,550	2,003,520	2,045,840	2,037,700	2,128,780	2,165,100
Total stockholders’ equity	US$ in thousands	714,259	697,978	651,032	623,080	628,020	566,272	545,419	520,243	519,741	471,235	470,665	495,992	504,961	543,034	556,669	542,282	552,094	553,356	619,346	630,596
Financial leverage ratio		3.27	3.38	3.54	3.58	3.57	4.08	3.97	3.93	3.91	4.08	3.98	3.83	3.89	3.65	3.70	3.69	3.71	3.68	3.44	3.43

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,336,350K ÷ $714,259K
= 3.27

Oceaneering International Inc's financial leverage ratio has shown some fluctuations over the years. The ratio ranged from 3.27 to 4.08 during the period from December 31, 2024, to September 30, 2022. Generally, a financial leverage ratio above 3 indicates that the company relies more on debt financing rather than equity to fund its operations.

The ratio peaked at 4.08 on September 30, 2022, suggesting a higher level of debt compared to equity in the company's capital structure at that time. This could potentially indicate increased financial risk due to higher interest payments and potential difficulties in meeting debt obligations.

On the other hand, the ratio declined to 3.27 on December 31, 2024, indicating a lower reliance on debt financing relative to equity. While this may suggest reduced financial risk, it could also imply lower leverage to take advantage of growth opportunities or tax benefits associated with debt financing.

Overall, Oceaneering International Inc's financial leverage ratio fluctuated over the analyzed period, showing variations in the company's capital structure and risk profile. Investors and stakeholders should monitor these changes to assess the company's financial health and risk exposure.