Procter & Gamble Company (PG)
Financial leverage ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 122,370,000 | 120,829,000 | 117,208,000 | 119,307,000 | 120,700,000 |
| Total stockholders’ equity | US$ in thousands | 50,559,000 | 47,065,000 | 46,854,000 | 46,654,000 | 46,878,000 |
| Financial leverage ratio | 2.42 | 2.57 | 2.50 | 2.56 | 2.57 |
June 30, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $122,370,000K ÷ $50,559,000K
= 2.42
The financial leverage ratio of Procter & Gamble Company has been gradually decreasing from 2.57 in June 2020 to 2.42 in June 2024. This indicates that the company has been reducing its reliance on debt to finance its operations over the years. A lower financial leverage ratio signifies a stronger financial position and less risk of insolvency due to debt obligations. Procter & Gamble's decreasing financial leverage ratio suggests that the company is managing its debt levels effectively and potentially improving its overall financial stability.
Peer comparison
Jun 30, 2024
Company name
Symbol
Financial leverage ratio
Procter & Gamble Company
PG
2.42
Church & Dwight Company Inc
CHD
2.22
Ecolab Inc
ECL
2.72
Stepan Company
SCL
1.94