ProPetro Holding Corp (PUMP)

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	1,223,640	1,280,210	1,512,330	1,534,260	1,480,310	1,472,220	1,433,380	1,394,150	1,335,790	1,143,610	1,067,620	1,084,450	1,061,240	1,098,750	1,066,790	1,044,780	1,050,740	1,096,140	1,093,600	1,436,110
Total stockholders’ equity	US$ in thousands	816,273	832,956	975,848	998,154	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	969,305
Financial leverage ratio		1.50	1.54	1.55	1.54	1.48	1.43	1.42	1.42	1.40	1.38	1.31	1.28	1.28	1.30	1.26	1.23	1.21	1.20	1.17	1.48

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,223,640K ÷ $816,273K
= 1.50

ProPetro Holding Corp's financial leverage ratio has shown a slightly increasing trend over the years, starting at 1.48 as of March 31, 2020, and gradually rising to 1.50 by December 31, 2024. The ratio indicates that the company relies more on debt financing compared to equity.

The ratio fluctuated between 1.17 and 1.43 from June 30, 2020, to September 30, 2023, showing some variability in the company's leverage position during that period. From September 30, 2023, onwards, the ratio started to increase consistently, reaching 1.50 by December 31, 2024.

Overall, the financial leverage ratio suggests that ProPetro Holding Corp has been moderately leveraged with a tendency towards increasing leverage over the years. This may indicate a higher level of financial risk for the company, as higher leverage can amplify both potential returns and losses.