Option Care Health Inc (OPCH)
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 | 3,421,740 | 3,427,730 | 3,348,590 | 3,249,560 | 3,328,350 | 3,243,620 | 3,320,900 | 3,130,400 | 3,112,940 | 3,073,260 | 2,985,910 | 2,878,280 | 2,790,920 | 2,786,140 | 2,718,760 | 2,640,470 | 2,647,440 | 2,668,490 | 2,626,260 | 2,612,530 |
| Total stockholders’ equity | US$ in thousands | 1,404,240 | 1,426,230 | 1,411,430 | 1,429,150 | 1,421,670 | 1,440,080 | 1,475,380 | 1,350,220 | 1,386,100 | 1,337,340 | 1,284,990 | 1,221,760 | 1,175,890 | 1,097,480 | 1,056,610 | 1,018,080 | 1,015,720 | 993,496 | 867,966 | 870,493 |
| Financial leverage ratio | 2.44 | 2.40 | 2.37 | 2.27 | 2.34 | 2.25 | 2.25 | 2.32 | 2.25 | 2.30 | 2.32 | 2.36 | 2.37 | 2.54 | 2.57 | 2.59 | 2.61 | 2.69 | 3.03 | 3.00 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,421,740K ÷ $1,404,240K
= 2.44
Option Care Health Inc's financial leverage ratio has shown a declining trend over the past few years, indicating a decrease in the company's reliance on debt to finance its operations. The financial leverage ratio decreased from 3.00 as of March 31, 2020, to 2.44 as of December 31, 2024. This suggests that the company has been gradually reducing its debt levels relative to its equity, which can be a positive sign of improved financial stability and lower risk.
The decreasing trend in the financial leverage ratio could indicate that Option Care Health Inc has been able to generate sufficient earnings to better support its debt obligations, or it may have actively taken steps to pay down debt and strengthen its balance sheet. A lower financial leverage ratio also implies a lower level of financial risk for the company, as it indicates less dependency on debt financing.
Overall, the declining financial leverage ratio for Option Care Health Inc reflects a more conservative approach to capital structure management, potentially enhancing the company's financial health and resilience in the long run.
Peer comparison
Dec 31, 2024