Ollie's Bargain Outlet Hldg (OLLI)

Financial leverage ratio

		Jan 31, 2025	Oct 31, 2024	Jul 31, 2024	Apr 30, 2024	Feb 3, 2024	Jan 31, 2024	Oct 31, 2023	Oct 28, 2023	Jul 31, 2023	Jul 29, 2023	Apr 30, 2023	Apr 29, 2023	Jan 31, 2023	Jan 28, 2023	Oct 31, 2022	Oct 29, 2022	Jul 31, 2022	Jul 30, 2022	Apr 30, 2022	Jan 31, 2022
Total assets	US$ in thousands	2,561,140	2,470,840	2,374,290	2,311,470	2,294,590	2,428,770	2,194,360	2,194,360	2,154,160	2,154,160	2,091,040	2,091,040	2,044,100	2,044,100	2,009,970	2,009,970	1,999,190	1,999,190	1,989,830	1,972,170
Total stockholders’ equity	US$ in thousands	1,695,310	1,616,970	1,590,670	1,532,420	1,508,230	1,508,230	1,440,370	1,440,370	1,414,980	1,414,980	1,383,960	1,383,960	1,362,070	1,362,070	1,318,120	1,318,120	1,312,190	1,312,190	1,302,440	1,287,710
Financial leverage ratio		1.51	1.53	1.49	1.51	1.52	1.61	1.52	1.52	1.52	1.52	1.51	1.51	1.50	1.50	1.52	1.52	1.52	1.52	1.53	1.53

January 31, 2025 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,561,140K ÷ $1,695,310K
= 1.51

The financial leverage ratio for Ollie's Bargain Outlet Holdings has fluctuated over the periods analyzed. Generally, the financial leverage ratio measures the company's level of debt financing relative to its equity. A ratio of 1 indicates an equal portion of debt and equity in the company's capital structure.

Based on the data provided:
- The financial leverage ratio remained relatively stable around 1.52 from January 2022 to July 2023, indicating a balanced mix of debt and equity.
- There was a slight decrease in the ratio to 1.50 in January 2023, suggesting a decrease in debt relative to equity.
- The ratio increased to 1.61 in January 2024, indicating a higher level of debt compared to equity.
- Subsequently, the ratio declined to 1.49 in July 2024, suggesting a decrease in debt levels relative to equity.

It is important to note that changes in the financial leverage ratio can reflect shifts in the company's capital structure and financial risk. A higher ratio may indicate higher financial risk due to increased reliance on debt, while a lower ratio may suggest a more conservative financial strategy. Ongoing monitoring and analysis of the financial leverage ratio are crucial for understanding the company's financial health and risk profile.