RPC Inc (RES)

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	1,286,840	1,247,370	1,228,190	1,187,830	1,129,010	1,055,580	965,079	891,168	864,365	826,640	790,206	800,073	790,505	800,877	782,868	869,132	1,053,220	1,109,860	1,223,970	1,226,490
Total stockholders’ equity	US$ in thousands	1,022,510	997,756	987,402	927,695	857,735	773,410	706,662	657,768	641,791	630,783	624,134	623,176	631,567	637,555	648,653	671,235	830,333	855,175	921,675	927,863
Financial leverage ratio		1.26	1.25	1.24	1.28	1.32	1.36	1.37	1.35	1.35	1.31	1.27	1.28	1.25	1.26	1.21	1.29	1.27	1.30	1.33	1.32

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,286,840K ÷ $1,022,510K
= 1.26

The financial leverage ratio of RPC, Inc. has been fluctuating over the past eight quarters. The ratio has shown a general downward trend from Q4 2022 to Q1 2023, reaching its lowest point of 1.24 in Q2 2023 before slightly increasing to 1.26 in Q4 2023.

A financial leverage ratio above 1 indicates that RPC, Inc. is financed more by debt than equity. A ratio of 1.26 in Q4 2023 suggests that the company's total assets are funded by 1.26 times its total equity.

The decreasing trend in the financial leverage ratio could indicate that RPC, Inc. is slowly relying less on debt to finance its operations, which could be a positive sign for the company's financial health and stability. However, the ratio still remains above 1, indicating that there is still a significant reliance on debt in the company's capital structure.

It would be important for investors and stakeholders to continue monitoring RPC, Inc.'s financial leverage ratio to assess its debt management strategies and overall financial risk profile.