Penn National Gaming Inc (PENN)

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	15,261,700	15,514,500	15,538,000	15,614,400	16,064,200	16,168,600	17,028,000	17,040,000	17,502,100	17,535,100	17,880,800	18,071,100	16,872,100	15,748,700	15,078,200	14,888,200	14,667,300	14,812,000	14,321,500	13,938,400
Total stockholders’ equity	US$ in thousands	2,862,700	3,064,700	3,055,900	3,074,700	3,202,100	3,482,600	4,210,300	4,176,300	3,597,700	3,617,100	3,766,800	3,953,500	4,097,800	3,071,900	2,958,300	2,756,300	2,656,200	2,633,700	1,506,200	1,278,400
Financial leverage ratio		5.33	5.06	5.08	5.08	5.02	4.64	4.04	4.08	4.86	4.85	4.75	4.57	4.12	5.13	5.10	5.40	5.52	5.62	9.51	10.90

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $15,261,700K ÷ $2,862,700K
= 5.33

The financial leverage ratio of Penn National Gaming Inc has shown a decreasing trend from 10.90 as of March 31, 2020, to 5.33 as of December 31, 2024. This indicates a reduction in the company's reliance on debt to finance its operations and investments over the analyzed period. A declining financial leverage ratio suggests that the company has been gradually shifting towards a more balanced capital structure with a lower proportion of debt relative to equity. This trend may be seen as positive by investors and creditors as it implies improved financial stability and reduced financial risk for the company. However, it is essential for the company to maintain an optimal level of leverage to support growth and profitability while managing financial risks effectively.