Qualys Inc (QLYS)
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 | ||
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Total assets | US$ in thousands | 812,618 | 751,861 | 709,584 | 675,753 | 700,941 | 747,631 | 789,011 | 814,550 | 814,559 | 756,180 | 737,305 | 729,942 | 736,819 | 707,084 | 707,015 | 684,492 | 675,608 | 625,924 | 645,612 | 636,141 |
Total stockholders’ equity | US$ in thousands | 368,174 | 322,917 | 277,018 | 267,822 | 289,129 | 355,186 | 396,838 | 426,635 | 436,714 | 402,986 | 392,995 | 397,108 | 404,482 | 400,299 | 407,774 | 386,730 | 386,803 | 361,023 | 383,598 | 373,403 |
Financial leverage ratio | 2.21 | 2.33 | 2.56 | 2.52 | 2.42 | 2.10 | 1.99 | 1.91 | 1.87 | 1.88 | 1.88 | 1.84 | 1.82 | 1.77 | 1.73 | 1.77 | 1.75 | 1.73 | 1.68 | 1.70 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $812,618K ÷ $368,174K
= 2.21
The financial leverage ratio of Qualys Inc has been fluctuating over the past several quarters, ranging from 1.91 to 2.56. The trend shows an overall increase in leverage, with the ratio peaking in Q2 2023 at 2.56. This indicates that the company is relying more on debt to finance its operations and growth.
A higher financial leverage ratio suggests that Qualys Inc has a higher proportion of debt in its capital structure compared to equity. While leverage can amplify returns when the business is performing well, it also increases the financial risk as the company becomes more vulnerable to economic downturns or changes in interest rates.
Investors and stakeholders should closely monitor Qualys Inc's financial leverage ratio to assess the company's ability to manage its debt obligations effectively and maintain a healthy balance between debt and equity financing. A sustained increase in the ratio may indicate a heightened risk of financial distress or constraints on future growth opportunities.
Peer comparison
Dec 31, 2023