Robert Half International Inc (RHI)

Financial leverage ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Total assets	US$ in thousands	2,854,400	3,010,790	2,964,490	2,952,360	2,557,420
Total stockholders’ equity	US$ in thousands	1,378,000	1,588,350	1,568,560	1,381,050	1,205,290
Financial leverage ratio		2.07	1.90	1.89	2.14	2.12

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,854,400K ÷ $1,378,000K
= 2.07

The financial leverage ratio of Robert Half International Inc has shown fluctuations over the past five years. The ratio was 2.12 as of December 31, 2020, and increased slightly to 2.14 by December 31, 2021. However, in the subsequent years, there was a decrease in the ratio to 1.89 as of December 31, 2022, followed by a slight increase to 1.90 by December 31, 2023. By December 31, 2024, the ratio had risen again to 2.07.

These changes in the financial leverage ratio indicate varying levels of debt financing relative to equity over the years. A ratio above 1 indicates higher reliance on debt to finance the company's operations, while a ratio below 1 signifies more conservative capital structure with a greater reliance on equity. The fluctuations in the financial leverage ratio suggest shifts in the company's capital structure and financing strategies over the period analyzed.