Silgan Holdings Inc (SLGN)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 7,611,240 | 7,345,760 | 7,770,850 | 6,511,590 | 4,931,060 |
| Total stockholders’ equity | US$ in thousands | 1,889,360 | 1,718,260 | 1,562,700 | 1,252,870 | 1,023,320 |
| Financial leverage ratio | 4.03 | 4.28 | 4.97 | 5.20 | 4.82 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $7,611,240K ÷ $1,889,360K
= 4.03
Silgan Holdings Inc.'s financial leverage ratio has shown a declining trend over the past five years, decreasing from 5.20 in 2020 to 4.03 in 2023. This indicates that the company has been reducing its reliance on debt to finance its operations and has been gradually moving towards a more equity-based capital structure during this period. While the leverage ratio was relatively high in 2020 and 2021, the downward trend suggests that Silgan Holdings has been actively managing its debt levels, which could lead to lower financial risk and improved financial stability in the long term. It is essential for the company to monitor and maintain an appropriate balance between debt and equity to ensure sustainable growth and profitability.
Peer comparison
Dec 31, 2023