Paramount Global Class B (PARA)

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	53,543,000	54,640,000	55,361,000	56,561,000	58,393,000	57,287,000	56,961,000	58,043,000	58,620,000	55,912,000	55,204,000	54,773,000	52,663,000	51,425,000	51,188,000	49,045,000	49,585,000	24,476,000	23,835,000	24,075,000
Total stockholders’ equity	US$ in thousands	22,526,000	21,864,000	21,655,000	21,851,000	23,036,000	22,647,000	22,776,000	22,664,000	22,402,000	20,559,000	20,098,000	19,171,000	15,371,000	14,556,000	13,874,000	13,449,000	13,207,000	5,052,000	4,753,000	4,349,000
Financial leverage ratio		2.38	2.50	2.56	2.59	2.53	2.53	2.50	2.56	2.62	2.72	2.75	2.86	3.43	3.53	3.69	3.65	3.75	4.84	5.01	5.54

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $53,543,000K ÷ $22,526,000K
= 2.38

The financial leverage ratio for Paramount Global has exhibited some fluctuations over the past eight quarters. The ratio ranged from 2.38 to 2.59 during this period, indicating that the company has been utilizing debt to finance its operations and investments.

A financial leverage ratio above 1 implies that the company has more debt than equity in its capital structure. Paramount Global's ratios consistently above 2 suggest a significant reliance on debt to fund its operations and growth strategies.

The slight fluctuations in the ratio over the quarters may indicate variations in the company's debt levels or changes in its asset base. A decreasing trend from Q1 2023 to Q4 2022 might imply a reduction in the proportion of debt in relation to equity, which could potentially indicate improved financial stability.

However, it's important to note that a high financial leverage ratio can also magnify risks, as higher debt levels mean higher interest payments and potential financial distress in case of economic downturns or other unfavorable events.

Overall, Paramount Global's financial leverage ratio analysis indicates a consistent reliance on debt for funding, which may present both opportunities and risks for the company's financial health and performance.