ProPetro Holding Corp (PUMP)
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 | 1,480,310 | 1,472,220 | 1,433,380 | 1,394,150 | 1,335,790 | 1,143,610 | 1,335,790 | 1,084,450 | 1,061,240 | 1,098,750 | 1,066,790 | 1,044,780 | 1,050,740 | 1,050,740 | 1,050,740 | 1,050,740 | 1,436,110 | 1,436,110 | 1,436,110 | 1,409,000 |
| Total stockholders’ equity | US$ in thousands | 998,392 | 1,027,330 | 1,008,360 | 982,923 | 954,033 | 830,538 | 817,036 | 847,212 | 826,302 | 842,815 | 844,743 | 847,269 | 870,771 | 911,767 | 938,429 | 961,516 | 969,305 | 944,100 | 909,037 | 869,541 |
| Financial leverage ratio | 1.48 | 1.43 | 1.42 | 1.42 | 1.40 | 1.38 | 1.63 | 1.28 | 1.28 | 1.30 | 1.26 | 1.23 | 1.21 | 1.15 | 1.12 | 1.09 | 1.48 | 1.52 | 1.58 | 1.62 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,480,310K ÷ $998,392K
= 1.48
ProPetro Holding Corp's financial leverage ratio has shown fluctuations over the past several quarters. The ratio has exhibited an upward trend from March 2020 to June 2022, indicating an increase in the company's reliance on debt financing during this period.
However, from June 2022 to December 2023, there has been some volatility in the ratio, with ups and downs observed. Notably, the ratio peaked at 1.63 in June 2022, suggesting a relatively high level of financial leverage at that point.
Subsequently, the ratio decreased to 1.28 in March 2023 and has since fluctuated within a relatively narrow range around the 1.4 mark. This may indicate a stabilization or moderation in the company's reliance on debt in its capital structure.
Overall, the financial leverage ratio of ProPetro Holding Corp has shown variability over the quarters, reflecting changes in the company's debt levels relative to its equity. Investors and stakeholders should continue to monitor this ratio to assess the company's capital structure and financial risk management.
Peer comparison
Dec 31, 2023