ePlus inc (PLUS)
Financial leverage ratio
| Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,884,800 | 1,765,780 | 1,700,050 | 1,650,970 | 1,668,530 | 1,595,600 | 1,618,790 | 1,680,810 | 1,414,830 | 1,597,860 | 1,371,340 | 1,256,150 | 1,166,200 | 1,255,150 | 1,139,940 | 1,077,420 | 1,076,780 | 1,125,950 | 1,038,710 | 1,058,860 |
| Total stockholders’ equity | US$ in thousands | 977,623 | 962,340 | 946,997 | 921,928 | 901,779 | 877,753 | 845,696 | 813,291 | 782,265 | 746,420 | 705,645 | 676,288 | 660,738 | 639,296 | 613,603 | 583,619 | 562,410 | 545,009 | 523,070 | 502,725 |
| Financial leverage ratio | 1.93 | 1.83 | 1.80 | 1.79 | 1.85 | 1.82 | 1.91 | 2.07 | 1.81 | 2.14 | 1.94 | 1.86 | 1.76 | 1.96 | 1.86 | 1.85 | 1.91 | 2.07 | 1.99 | 2.11 |
March 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,884,800K ÷ $977,623K
= 1.93
The financial leverage ratio of ePlus inc has fluctuated over the past few years, ranging from a low of 1.76 to a high of 2.14. This ratio measures the company's level of debt relative to its equity, indicating the extent to which the company relies on debt financing. A higher financial leverage ratio suggests a higher proportion of debt in the company's capital structure, which can indicate increased financial risk and interest payment obligations.
From the data provided, we can observe that the financial leverage ratio initially increased from 2.11 in June 2020 to a peak of 2.14 by December 2022, indicating a higher reliance on debt during that period. Subsequently, the ratio declined to 1.79 by June 2024 before showing some minor fluctuations, ending at 1.93 as of March 2025.
Overall, the trend in ePlus inc's financial leverage ratio suggests fluctuations in the company's debt levels relative to equity over the period under consideration. It is important for investors and stakeholders to monitor changes in this ratio as it provides insights into the company's capital structure and financial risk profile.
Peer comparison
Mar 31, 2025