Permian Resources Corporation (PR)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	14,965,600	8,492,590	3,804,590	3,827,420	4,688,290
Total stockholders’ equity	US$ in thousands	6,336,100	2,935,750	2,750,720	2,603,960	3,258,120
Financial leverage ratio		2.36	2.89	1.38	1.47	1.44

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $14,965,600K ÷ $6,336,100K
= 2.36

Permian Resources Corp's financial leverage ratio has varied over the past five years. The ratio was 2.36 in 2023, a decrease from 2.89 in 2022. This suggests that the company's reliance on debt to finance its operations decreased in 2023. However, the ratio in 2023 is still higher compared to the ratios in 2021, 2020, and 2019, indicating that Permian Resources Corp has higher financial leverage in 2023. It is important to further analyze the company's debt structure and financial health to understand the implications of this trend on its overall financial stability and risk profile.