Olin Corporation (OLN)
Financial leverage ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 7,713,200 | 7,815,200 | 7,952,500 | 8,109,400 | 8,044,200 | 8,220,200 | 8,675,200 | 8,574,700 | 8,517,700 | 8,652,700 | 8,657,200 | 8,453,200 | 8,270,900 | 8,266,600 | 8,978,100 | 9,184,400 | 9,187,800 | 9,232,600 | 9,235,300 | 9,169,900 |
| Total stockholders’ equity | US$ in thousands | 2,232,400 | 2,327,500 | 2,432,000 | 2,492,800 | 2,543,600 | 2,549,700 | 2,696,100 | 2,785,900 | 2,652,200 | 2,387,900 | 2,074,700 | 1,696,600 | 1,450,800 | 1,469,100 | 2,188,900 | 2,289,100 | 2,417,500 | 2,664,700 | 2,770,800 | 2,837,600 |
| Financial leverage ratio | 3.46 | 3.36 | 3.27 | 3.25 | 3.16 | 3.22 | 3.22 | 3.08 | 3.21 | 3.62 | 4.17 | 4.98 | 5.70 | 5.63 | 4.10 | 4.01 | 3.80 | 3.46 | 3.33 | 3.23 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $7,713,200K ÷ $2,232,400K
= 3.46
Olin Corp.'s financial leverage ratio has shown fluctuation over the past eight quarters, ranging from a low of 3.08 in Q1 2022 to a high of 3.46 in Q4 2023. The financial leverage ratio indicates the company's level of debt relative to its equity. A higher ratio suggests that the company relies more on debt to finance its operations, while a lower ratio indicates a lesser dependence on borrowing.
The trend observed in Olin Corp.'s financial leverage ratio indicates an overall increasing trend from Q1 2022 to Q4 2023, which may suggest a growing reliance on debt financing over this period. It is important to carefully monitor the company's financial leverage ratio as high levels of debt can increase financial risk, especially in times of economic uncertainty.
Further analysis of the company's debt structure and overall financial health alongside the financial leverage ratio can provide deeper insights into Olin Corp.'s ability to manage its debt obligations and sustain long-term growth.
Peer comparison
Dec 31, 2023