Solventum Corp. (SOLV)
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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 14,457,000 | 14,745,000 | 14,578,000 | 14,711,000 | 14,377,000 | 13,873,000 | 14,311,000 | 13,641,000 | 13,594,000 |
| Total stockholders’ equity | US$ in thousands | 2,959,000 | 3,192,000 | 2,867,000 | 3,851,000 | 3,409,000 | 3,250,000 | 3,964,000 | 11,742,000 | 11,742,000 |
| Financial leverage ratio | 4.89 | 4.62 | 5.08 | 3.82 | 4.22 | 4.27 | 3.61 | 1.16 | 1.16 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $14,457,000K ÷ $2,959,000K
= 4.89
The financial leverage ratio of Solventum Corp. has shown fluctuations over the analyzed periods. The ratio was stable at around 1.16 at the end of December 2022 and March 2023. However, it increased significantly to 3.61 and 4.27 by June and September 2023 respectively, indicating a significant rise in the company's financial leverage.
The trend continued with the ratio slightly decreasing to 4.22 by the end of December 2023, but then decreased more noticeably to 3.82 by March 2024. The ratio spiked again to 5.08 by June 2024, showing a substantial increase in financial leverage, before decreasing to 4.62 by September 2024 and reaching 4.89 by December 2024.
Overall, the financial leverage ratio of Solventum Corp. has displayed variability during the analyzed period, with some significant fluctuations. This suggests that the company may have been actively managing its debt levels and capital structure during these periods. Monitoring this ratio over time can provide insights into the company's debt management strategies and its overall financial risk profile.
Peer comparison
Dec 31, 2024