SJW Corporation (SJW)

Financial leverage ratio

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Total assets	US$ in thousands	4,345,070	3,843,430	3,712,160	3,652,500	3,755,060	3,604,700	3,541,050	3,511,880	3,492,400	3,469,740	3,409,520	3,332,140	3,311,460	3,259,710	3,209,980	3,174,300	3,132,470	2,022,380	2,003,650	1,958,810
Total stockholders’ equity	US$ in thousands	1,233,400	1,220,250	1,182,720	1,152,480	1,110,870	1,049,350	1,029,840	1,028,420	1,034,520	1,000,710	989,679	978,296	917,160	913,061	895,131	883,541	889,984	896,664	893,995	888,293
Financial leverage ratio		3.52	3.15	3.14	3.17	3.38	3.44	3.44	3.41	3.38	3.47	3.45	3.41	3.61	3.57	3.59	3.59	3.52	2.26	2.24	2.21

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,345,070K ÷ $1,233,400K
= 3.52

The financial leverage ratio of SJW Group has been relatively stable over the past quarters, ranging from 3.14 to 3.52. This indicates that the company relies more on debt financing in comparison to equity to fund its operations and investments. A higher financial leverage ratio may suggest a higher level of financial risk due to increased debt obligations, which could lead to potential challenges in meeting those obligations in the future. Monitoring changes in this ratio over time is important for assessing the company's ability to manage its debt levels effectively and maintain a healthy balance sheet.