Schrodinger Inc (SDGR)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Total assets | US$ in thousands | 802,955 | 688,587 | 756,487 | 746,263 |
| Total stockholders’ equity | US$ in thousands | 548,558 | 447,894 | 557,071 | 624,015 |
| Financial leverage ratio | 1.46 | 1.54 | 1.36 | 1.20 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $802,955K ÷ $548,558K
= 1.46
The financial leverage ratio of Schrodinger Inc has fluctuated over the past five years. In 2023, the ratio stood at 1.46, indicating that the company's reliance on debt to finance its operations decreased compared to 2022 when the ratio was 1.54. This reduction suggests a more conservative approach to debt financing in 2023.
When compared to 2021 and 2020, where the ratios were 1.36 and 1.20 respectively, the financial leverage has increased, signifying a higher level of debt utilization in 2023. This could indicate a strategic shift towards leveraging more debt to support the company's growth or investment opportunities.
In 2019, the financial leverage ratio was 1.58, the highest among the years presented. The decrease in the ratio from 2019 to 2023 could imply a trend towards reducing debt levels or improving equity financing structures within the company.
Overall, the fluctuation in the financial leverage ratio of Schrodinger Inc indicates varying degrees of reliance on debt financing over the years, reflecting different strategic financial decisions made by the company during the period.
Peer comparison
Dec 31, 2023