PPG Industries Inc (PPG)
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 | 21,647,000 | 21,501,000 | 22,216,000 | 22,099,000 | 20,744,000 | 20,868,000 | 21,572,000 | 21,888,000 | 21,351,000 | 21,883,000 | 22,353,000 | 20,139,000 | 19,556,000 | 18,300,000 | 18,170,000 | 18,064,000 | 17,708,000 | 18,064,000 | 17,955,000 | 17,371,000 |
| Total stockholders’ equity | US$ in thousands | 7,832,000 | 7,751,000 | 7,614,000 | 7,142,000 | 6,592,000 | 6,034,000 | 6,182,000 | 6,218,000 | 6,286,000 | 6,253,000 | 6,242,000 | 5,839,000 | 5,689,000 | 5,310,000 | 4,832,000 | 4,723,000 | 5,284,000 | 5,247,000 | 5,079,000 | 4,904,000 |
| Financial leverage ratio | 2.76 | 2.77 | 2.92 | 3.09 | 3.15 | 3.46 | 3.49 | 3.52 | 3.40 | 3.50 | 3.58 | 3.45 | 3.44 | 3.45 | 3.76 | 3.82 | 3.35 | 3.44 | 3.54 | 3.54 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $21,647,000K ÷ $7,832,000K
= 2.76
The financial leverage ratio of PPG Industries, Inc. has shown a declining trend over the past eight quarters, indicating a decrease in the company's reliance on debt to finance its operations and investments. The ratio has decreased from 3.52 in Q1 2022 to 2.76 in Q4 2023. This downward trend suggests that the company has been reducing its debt levels relative to its equity, which could lead to lower financial risk and increased financial stability. It is important to note that a lower financial leverage ratio typically indicates a stronger financial position for the company. A decreasing trend in this ratio could be a positive sign for shareholders and potential investors, as it suggests a more conservative approach to financial management by PPG Industries, Inc.
Peer comparison
Dec 31, 2023