Par Pacific Holdings Inc (PARR)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,829,370 | 3,863,950 | 3,280,650 | 2,570,250 | 2,133,860 |
| Total stockholders’ equity | US$ in thousands | 1,191,300 | 1,335,420 | 644,537 | 265,700 | 246,274 |
| Financial leverage ratio | 3.21 | 2.89 | 5.09 | 9.67 | 8.66 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,829,370K ÷ $1,191,300K
= 3.21
The financial leverage ratio of Par Pacific Holdings Inc has shown a fluctuating trend over the past five years. Starting at 8.66 in December 2020, the ratio increased to 9.67 by December 2021, indicating a higher level of leverage within the company. However, there has been a notable decrease in the financial leverage ratio in the subsequent years, reaching 5.09 in December 2022, 2.89 in December 2023, and then a slight increase to 3.21 by December 2024.
The reduction in the financial leverage ratio suggests that the company may have been reducing its reliance on debt financing or strengthening its financial position by increasing equity. A lower financial leverage ratio can imply lower financial risk and greater financial stability for the company. It is important for stakeholders to monitor the financial leverage ratio to assess the company's capital structure and financial health effectively.
Peer comparison
Dec 31, 2024