RBC Bearings Incorporated (RBC)

Financial leverage ratio

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Total assets US$ in thousands 4,685,200 4,678,600 4,690,400 4,845,420 1,434,260
Total stockholders’ equity US$ in thousands 3,031,400 2,751,900 2,535,900 2,371,850 1,229,950
Financial leverage ratio 1.55 1.70 1.85 2.04 1.17

March 31, 2025 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,685,200K ÷ $3,031,400K
= 1.55

The financial leverage ratio of RBC Bearings Incorporated has shown some fluctuations over the past five years. Starting at 1.17 in March 2021, the ratio increased to 2.04 in March 2022, reflecting a significant rise in the company's reliance on debt to finance its operations. However, in the following years, the ratio has slightly decreased to 1.85 in March 2023, 1.70 in March 2024, and 1.55 in March 2025, indicating a gradual reduction in the company's debt levels compared to its equity.

Overall, the financial leverage ratio of RBC Bearings Incorporated suggests that the company has moderate to high financial leverage, with a recent trend showing a decreasing reliance on debt financing. It is important to monitor this ratio to ensure that the company maintains a healthy balance between debt and equity to support its financial stability and growth prospects.


Peer comparison

Mar 31, 2025

Company name
Symbol
Financial leverage ratio
RBC Bearings Incorporated
RBC
1.55
Timken Company
TKR
2.27