Sempra Energy (SRE)
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 | 87,181,000 | 85,735,000 | 82,727,000 | 80,549,000 | 78,574,000 | 75,563,000 | 75,582,000 | 74,922,000 | 72,045,000 | 70,472,000 | 68,608,000 | 67,821,000 | 66,623,000 | 67,222,000 | 68,385,000 | 68,293,000 | 65,665,000 | 64,585,000 | 62,727,000 | 61,618,000 |
| Total stockholders’ equity | US$ in thousands | 28,675,000 | 28,238,000 | 27,836,000 | 27,667,000 | 27,115,000 | 27,030,000 | 26,841,000 | 26,114,000 | 25,981,000 | 24,554,000 | 25,451,000 | 23,999,000 | 23,373,000 | 23,228,000 | 23,606,000 | 20,117,000 | 19,929,000 | 18,620,000 | 17,440,000 | 17,346,000 |
| Financial leverage ratio | 3.04 | 3.04 | 2.97 | 2.91 | 2.90 | 2.80 | 2.82 | 2.87 | 2.77 | 2.87 | 2.70 | 2.83 | 2.85 | 2.89 | 2.90 | 3.39 | 3.29 | 3.47 | 3.60 | 3.55 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $87,181,000K ÷ $28,675,000K
= 3.04
The financial leverage ratio of Sempra has been relatively stable over the past eight quarters, ranging from 2.80 to 3.04. This indicates that Sempra relies more on debt financing rather than equity to fund its operations and investments. A higher financial leverage ratio suggests that the company has a higher level of debt compared to its equity, which can increase the financial risk for the company. However, it can also indicate that the company is taking advantage of debt to finance growth opportunities and potentially increase returns for shareholders. Overall, the consistent range of the financial leverage ratio for Sempra suggests a balanced approach to capital structure management.
Peer comparison
Dec 31, 2023