Sarepta Therapeutics Inc (SRPT)
Financial leverage ratio
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 3,264,580 | 3,128,370 | 3,147,970 | 2,984,720 | 1,822,820 |
| Total stockholders’ equity | US$ in thousands | 859,337 | 384,950 | 928,009 | 761,759 | 818,187 |
| Financial leverage ratio | 3.80 | 8.13 | 3.39 | 3.92 | 2.23 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,264,580K ÷ $859,337K
= 3.80
The financial leverage ratio of Sarepta Therapeutics Inc has fluctuated over the past five years. In 2023, the ratio stands at 3.80, indicating that the company's reliance on debt to finance its operations and growth is lower compared to the previous year. This is a positive sign as a lower financial leverage ratio suggests lesser financial risk associated with high levels of debt.
In 2022, Sarepta Therapeutics Inc had a significantly higher financial leverage ratio of 8.13, signaling a substantial increase in the company's debt levels relative to its equity. This could indicate a higher financial risk due to the potential challenges of servicing or repaying such a high level of debt.
The financial leverage ratio was relatively stable in 2021 at 3.39 and in 2020 at 3.92, indicating a moderate level of debt usage by the company to support its operations and investments during those years.
In 2019, the ratio was 2.23, suggesting a lower reliance on debt financing compared to the subsequent years. Overall, the trend in the financial leverage ratio of Sarepta Therapeutics Inc reflects varying degrees of debt utilization over the years, with 2022 standing out as a year with a significantly higher level of leverage. Investors and stakeholders should monitor these ratios to assess the company's financial risk and sustainability in the long term.
Peer comparison
Dec 31, 2023