Timken Company (TKR)

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	6,541,700	6,244,700	6,251,300	5,853,000	5,772,400	5,281,900	5,442,500	5,458,500	5,170,700	5,145,600	5,166,200	5,106,200	5,041,600	4,909,100	4,901,000	4,980,000	4,859,900	4,565,300	4,674,200	4,680,700
Total stockholders’ equity	US$ in thousands	2,582,400	2,477,800	2,531,300	2,348,000	2,268,300	2,093,600	2,203,600	2,271,100	2,294,900	2,296,900	2,290,900	2,175,500	2,152,900	2,028,100	1,883,600	1,817,400	1,868,200	1,744,800	1,711,300	1,638,500
Financial leverage ratio		2.53	2.52	2.47	2.49	2.54	2.52	2.47	2.40	2.25	2.24	2.26	2.35	2.34	2.42	2.60	2.74	2.60	2.62	2.73	2.86

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $6,541,700K ÷ $2,582,400K
= 2.53

The financial leverage ratio of Timken Co. has shown consistent levels around the range of 2.40 to 2.54 over the past eight quarters. This ratio indicates that Timken Co. relies on debt as a source of financing, with an average of approximately 2.50. The stability of the financial leverage ratio suggests that the company has been maintaining a relatively consistent level of debt in relation to its equity over the period analyzed. Further analysis would be required to determine if this level of debt is optimal for the company's operations and growth strategy.

Peer comparison

Dec 31, 2023

Company name

Symbol

Financial leverage ratio

Timken Company

TKR

2.53

RBC Bearings Incorporated

RBC

1.70