Prestige Brand Holdings Inc (PBH)
Financial leverage ratio
| Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,318,420 | 3,353,730 | 3,670,680 | 3,429,270 | 3,513,900 |
| Total stockholders’ equity | US$ in thousands | 1,655,080 | 1,447,080 | 1,577,610 | 1,358,300 | 1,170,970 |
| Financial leverage ratio | 2.00 | 2.32 | 2.33 | 2.52 | 3.00 |
March 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,318,420K ÷ $1,655,080K
= 2.00
The financial leverage ratio of Prestige Brand Holdings Inc has exhibited a decreasing trend over the past five years, declining from 3.00 in 2020 to 2.00 in 2024. This indicates that the company's reliance on debt to finance its operations has decreased. A financial leverage ratio of 2.00 in 2024 suggests that for every dollar of equity, the company has $2.00 of debt in its capital structure. This level of leverage indicates a moderate degree of financial risk for the company. The decreasing trend in the financial leverage ratio indicates that Prestige Brand Holdings Inc has been reducing its debt levels relative to its equity, which may improve its financial stability and flexibility in the long run. It appears that the company has been managing its capital structure effectively over the years, potentially reducing its exposure to financial distress and volatility.
Peer comparison
Mar 31, 2024