Talos Energy (TALO)

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	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
Total assets	US$ in thousands	6,191,800	6,399,080	6,361,860	6,434,380	4,816,310	4,753,100	4,805,410	4,795,760	3,058,630	2,813,370	2,863,100	2,810,490	2,766,820	2,786,160	2,852,160	2,839,690	2,834,550	3,172,280	3,174,650	3,238,190
Total stockholders’ equity	US$ in thousands	2,759,700	2,817,640	2,726,320	2,752,180	2,155,150	2,062,060	2,061,890	2,060,840	1,165,580	1,155,340	897,510	695,125	760,653	674,624	686,421	807,154	926,601	1,282,280	1,294,550	1,394,900
Financial leverage ratio		2.24	2.27	2.33	2.34	2.23	2.31	2.33	2.33	2.62	2.44	3.19	4.04	3.64	4.13	4.16	3.52	3.06	2.47	2.45	2.32

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $6,191,800K ÷ $2,759,700K
= 2.24

The financial leverage ratio of Talos Energy has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio has moved within the range of 2.23 to 4.16 during this time frame.

Initially, from March 31, 2020, to September 30, 2021, the financial leverage ratio increased steadily, indicating an increasing level of financial leverage. However, there was a peak in the ratio at 4.16 on June 30, 2021, which may indicate higher financial risk due to increased debt compared to equity.

Subsequently, the ratio started to decline from December 31, 2021, to June 30, 2022, before experiencing some fluctuations between September 30, 2022, and December 31, 2024, where the ratio ranged between 2.23 and 2.62.

Overall, the financial leverage ratio of Talos Energy has stabilized towards the later part of the period, indicating a more moderate level of financial leverage compared to the peak observed in mid-2021. This may suggest that the company has managed its debt levels effectively to maintain a balance between debt and equity financing.