Sarepta Therapeutics Inc (SRPT)

Financial leverage ratio

Mar 31, 2024 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
Total assets US$ in thousands 3,224,380 3,264,580 3,109,710 3,125,890 3,059,790 3,128,370 3,156,150 2,996,850 3,056,150 3,147,970 2,662,220 2,759,070 2,765,230 2,984,720 2,780,660 2,883,040 2,947,390 1,822,820 1,702,470 1,747,750
Total stockholders’ equity US$ in thousands 961,192 859,337 764,357 741,411 712,749 384,950 430,840 726,457 856,886 928,009 469,528 485,108 535,445 761,759 892,047 1,042,870 1,144,830 818,187 995,204 1,099,170
Financial leverage ratio 3.35 3.80 4.07 4.22 4.29 8.13 7.33 4.13 3.57 3.39 5.67 5.69 5.16 3.92 3.12 2.76 2.57 2.23 1.71 1.59

March 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $3,224,380K ÷ $961,192K
= 3.35

The financial leverage ratio of Sarepta Therapeutics Inc has fluctuated over the past few quarters, indicating changes in the company's debt levels relative to its equity. The trend shows an upward movement in the financial leverage ratio from the end of 2021 to the middle of 2022, reaching a peak at 8.13 in December 2022. This increase suggests that the company was relying more on debt financing during that period.

However, from December 2022 onwards, there has been a downward trend in the financial leverage ratio, indicating a decrease in the proportion of debt in the company's capital structure compared to equity. By the end of March 2024, the financial leverage ratio had decreased to 3.35, which is a significantly lower level compared to the peak in late 2022.

Overall, the decreasing trend in the financial leverage ratio from late 2022 to early 2024 may suggest that Sarepta Therapeutics Inc has been managing its debt levels effectively and potentially reducing its financial risk by relying less on debt financing and strengthening its equity position. However, it is essential to continue monitoring this ratio to assess the company's capital structure stability and financial health.