Rollins Inc (ROL)
Financial leverage ratio
| 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 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 2,819,700 | 2,816,200 | 2,766,500 | 2,658,620 | 2,595,460 | 2,639,960 | 2,599,330 | 2,138,890 | 2,122,030 | 2,112,480 | 2,167,480 | 2,131,140 | 2,021,540 | 1,904,810 | 1,921,690 | 1,876,880 | 1,845,900 | 1,806,070 | 1,836,380 | 1,771,480 |
| Total stockholders’ equity | US$ in thousands | 1,330,590 | 1,317,780 | 1,236,060 | 1,167,500 | 1,155,570 | 1,102,840 | 1,342,220 | 1,287,750 | 1,267,200 | 1,229,680 | 1,177,380 | 1,138,020 | 1,111,220 | 1,101,630 | 1,050,680 | 988,935 | 964,651 | 932,716 | 862,830 | 800,371 |
| Financial leverage ratio | 2.12 | 2.14 | 2.24 | 2.28 | 2.25 | 2.39 | 1.94 | 1.66 | 1.67 | 1.72 | 1.84 | 1.87 | 1.82 | 1.73 | 1.83 | 1.90 | 1.91 | 1.94 | 2.13 | 2.21 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,819,700K ÷ $1,330,590K
= 2.12
Rollins Inc's financial leverage ratio has shown fluctuations over the analyzed period. The ratio decreased from 2.21 as of March 31, 2020, to 1.67 as of December 31, 2022. This downward trend indicates a reduction in the company's reliance on debt to finance its operations.
However, from March 31, 2023, to September 30, 2024, the financial leverage ratio increased steadily, reaching a peak of 2.39 as of September 30, 2023, before slightly declining to 2.12 by December 31, 2024. This increase in the ratio suggests that Rollins Inc may have taken on more debt during this period, possibly to support growth initiatives or manage financial challenges.
Overall, while the company initially reduced its financial leverage, there seems to have been a shift towards higher leverage in the latter half of the analyzed period. It is important for stakeholders to monitor this trend closely, considering the potential implications for Rollins Inc's financial risk and stability.
Peer comparison
Dec 31, 2024