Power Integrations Inc (POWI)

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 828,826 824,991 804,760 805,776 819,868 865,490 859,457 851,405 840,096 837,963 809,004 919,195 1,014,490 1,004,990 967,849 944,719 903,339 876,068 853,777 827,439
Total stockholders’ equity US$ in thousands 749,772 749,213 730,742 738,178 752,241 785,057 767,929 762,302 755,216 750,282 710,245 820,573 912,032 908,356 870,344 853,823 810,411 779,797 759,472 743,830
Financial leverage ratio 1.11 1.10 1.10 1.09 1.09 1.10 1.12 1.12 1.11 1.12 1.14 1.12 1.11 1.11 1.11 1.11 1.11 1.12 1.12 1.11

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $828,826K ÷ $749,772K
= 1.11

The financial leverage ratio of Power Integrations Inc has been relatively stable over the past few years, hovering around the range of 1.09 to 1.14. This indicates that the company's financial leverage, which is the ratio of its total debt to total equity, has been consistent and at a moderate level. A financial leverage ratio around 1 suggests that the company has a balanced mix of debt and equity in its capital structure.

The slight fluctuations in the financial leverage ratio over the period indicate that there may have been some changes in the company's debt levels or equity financing, but overall, the company has maintained a stable capital structure. It is important for investors and stakeholders to monitor this ratio to assess the company's ability to meet its financial obligations and manage its debt effectively.