Tidewater Inc (TDW)

Financial leverage ratio

		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	Dec 31, 2019	Sep 30, 2019
Total assets	US$ in thousands	2,089,750	2,077,820	2,062,770	2,071,560	1,344,160	1,327,150	1,297,660	1,283,060	1,282,740	1,054,130	1,095,780	1,123,070	1,151,730	1,188,930	1,251,180	1,350,770	1,415,680	1,553,120	1,579,530	1,754,020
Total stockholders’ equity	US$ in thousands	1,081,250	1,056,980	1,039,240	1,032,730	893,083	873,313	865,968	846,639	840,717	689,379	701,303	734,001	758,978	787,766	822,115	852,240	888,509	997,364	1,014,800	1,075,430
Financial leverage ratio		1.93	1.97	1.98	2.01	1.51	1.52	1.50	1.52	1.53	1.53	1.56	1.53	1.52	1.51	1.52	1.58	1.59	1.56	1.56	1.63

June 30, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,089,750K ÷ $1,081,250K
= 1.93

The financial leverage ratio of Tidewater Inc has exhibited fluctuations over the past few quarters. The ratio has ranged from 1.50 to 2.01, indicating changes in the company's capital structure and the extent to which it relies on debt financing.

The trend shows that the financial leverage ratio increased from 1.50 in March 2020 to 2.01 in September 2023, signifying a higher level of debt relative to equity during this period. However, there was a slight decrease in leverage thereafter, reaching 1.93 by June 2024.

The increasing trend in the ratio until September 2023 may indicate that Tidewater Inc was taking on more debt to finance its operations or investments during that period. Subsequently, the decrease in the ratio suggests that the company may have adjusted its capital structure or paid down some debt.

Overall, fluctuations in the financial leverage ratio of Tidewater Inc reflect changes in the company's financing decisions and risk profile, highlighting the importance of analyzing trends in leverage over time to assess the impact on the firm's financial health and stability.