Republic Services Inc (RSG)
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 | 32,402,000 | 31,814,200 | 31,934,100 | 31,381,700 | 31,410,100 | 30,042,800 | 29,823,300 | 29,081,400 | 29,050,900 | 28,401,000 | 28,212,900 | 24,880,100 | 24,955,000 | 24,428,900 | 23,922,100 | 23,252,600 | 23,434,000 | 23,110,100 | 22,826,300 | 22,908,900 |
| Total stockholders’ equity | US$ in thousands | 11,405,000 | 11,228,800 | 11,005,100 | 10,819,800 | 10,542,300 | 10,331,300 | 10,203,700 | 9,916,500 | 9,686,000 | 9,489,900 | 9,215,400 | 8,984,000 | 8,978,900 | 8,873,300 | 8,778,300 | 8,632,900 | 8,483,900 | 8,370,100 | 8,227,100 | 8,117,200 |
| Financial leverage ratio | 2.84 | 2.83 | 2.90 | 2.90 | 2.98 | 2.91 | 2.92 | 2.93 | 3.00 | 2.99 | 3.06 | 2.77 | 2.78 | 2.75 | 2.73 | 2.69 | 2.76 | 2.76 | 2.77 | 2.82 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $32,402,000K ÷ $11,405,000K
= 2.84
Republic Services Inc's financial leverage ratio has shown fluctuations over the years, ranging from a low of 2.69 in March 2021 to a high of 3.06 in June 2022. The financial leverage ratio measures the company's use of debt to finance its operations relative to its equity.
A higher financial leverage ratio indicates that the company is relying more on debt, which can amplify returns in good times but also increase financial risk in case of economic downturns. Conversely, a lower ratio suggests a more conservative approach with less reliance on debt for funding.
Republic Services Inc's financial leverage ratio has generally trended upwards from 2.69 in March 2021 to 2.84 in December 2024, indicating a gradual increase in the company's debt relative to its equity. It peaked at 3.06 in June 2022, possibly reflecting a period of increased borrowing for strategic investments or acquisitions.
Overall, it is essential for investors and stakeholders to carefully monitor Republic Services Inc's financial leverage ratio to assess the company's capital structure and financial risk over time.
Peer comparison
Dec 31, 2024