Packaging Corp of America (PKG)
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 | 8,681,100 | 8,177,600 | 8,106,500 | 8,049,000 | 8,003,800 | 8,344,400 | 8,340,600 | 8,137,800 | 7,836,800 | 8,630,800 | 7,673,600 | 7,549,000 | 7,433,200 | 7,372,600 | 7,272,000 | 7,347,600 | 7,235,800 | 7,191,100 | 7,074,400 | 6,928,600 |
| Total stockholders’ equity | US$ in thousands | 3,997,300 | 3,887,200 | 3,848,600 | 3,757,700 | 3,667,100 | 3,971,200 | 3,964,500 | 3,779,300 | 3,607,200 | 3,608,300 | 3,444,300 | 3,331,200 | 3,246,300 | 3,205,400 | 3,133,100 | 3,149,900 | 3,071,000 | 3,034,700 | 2,921,200 | 2,794,600 |
| Financial leverage ratio | 2.17 | 2.10 | 2.11 | 2.14 | 2.18 | 2.10 | 2.10 | 2.15 | 2.17 | 2.39 | 2.23 | 2.27 | 2.29 | 2.30 | 2.32 | 2.33 | 2.36 | 2.37 | 2.42 | 2.48 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $8,681,100K ÷ $3,997,300K
= 2.17
Packaging Corp Of America's financial leverage ratio has been relatively stable over the past eight quarters, ranging between 2.10 and 2.18. The financial leverage ratio measures the extent to which a company is using debt to finance its operations, with a higher ratio indicating a higher level of debt relative to equity. In this case, Packaging Corp Of America's financial leverage ratio has consistently been above 2, suggesting that the company relies more on debt financing compared to equity. This could indicate that the company may have higher financial risk due to its higher level of debt, potentially leading to higher interest expenses and financial obligations. Overall, monitoring the trend of the financial leverage ratio over time can provide insights into the company's capital structure and financial health.
Peer comparison
Dec 31, 2023