ResMed Inc (RMD)
Financial leverage ratio
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 8,174,390 | 7,566,820 | 7,141,330 | 7,222,420 | 6,872,390 | 6,814,560 | 6,905,090 | 6,740,790 | 6,751,710 | 6,713,880 | 6,676,100 | 5,177,560 | 5,095,850 | 4,905,260 | 4,734,740 | 4,729,170 | 4,728,120 | 4,585,720 | 4,572,860 | 4,620,840 |
| Total stockholders’ equity | US$ in thousands | 5,967,860 | 5,546,130 | 5,253,010 | 5,195,030 | 4,864,040 | 4,629,920 | 4,481,850 | 4,250,380 | 4,129,900 | 3,932,510 | 3,738,130 | 3,432,890 | 3,360,750 | 3,278,800 | 3,145,840 | 3,026,050 | 2,885,680 | 2,709,230 | 2,864,980 | 2,678,860 |
| Financial leverage ratio | 1.37 | 1.36 | 1.36 | 1.39 | 1.41 | 1.47 | 1.54 | 1.59 | 1.63 | 1.71 | 1.79 | 1.51 | 1.52 | 1.50 | 1.51 | 1.56 | 1.64 | 1.69 | 1.60 | 1.72 |
June 30, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $8,174,390K ÷ $5,967,860K
= 1.37
The financial leverage ratio of ResMed Inc, as depicted in the provided data, exhibits a discernible trend over the period from September 2020 through June 2025. Initially, the ratio averaged approximately 1.72 at the end of September 2020, indicating a higher degree of leverage at that time. Over subsequent quarters, this ratio experienced a gradual decline, reaching a low of around 1.36 in March 2024. This downward movement suggests a reduction in the company's reliance on debt financing relative to its equity, reflecting a potential strategy toward deleveraging or increased equity financing.
Between December 2020 and December 2021, the ratio demonstrated modest fluctuations, maintaining generally below 1.75, with peaks and valleys that imply minor adjustments in the company's capital structure. Notably, in late 2022, the ratio increased again to approximately 1.79 before resuming a declining trend. From March 2022 onward, the ratio predominantly remained between 1.50 and 1.70, indicating relatively stable leverage with slight variations.
Towards the most recent period, ending in June 2025, the ratio stabilizes around 1.36 to 1.37, marking the lowest levels observed within the analyzed timeframe. This sustained reduction in the financial leverage ratio over time reflects a consistent de-emphasis on debt financing, implying improved financial stability or a strategic shift toward strengthening equity capacity.
Overall, the systematic decline in ResMed Inc’s financial leverage ratio over the specified period signifies an ongoing effort to manage and reduce financial risk, aligning with conservative capital policies that favor lower leverage levels. Such a trend can imply enhanced financial resilience, decreased insolvency risk, and potentially increased capacity for future investments or growth initiatives under lower indebtedness.
Peer comparison
Jun 30, 2025