Tapestry Inc (TPR)
Financial leverage ratio
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 13,396,300 | 7,116,800 | 7,265,300 | 8,382,400 | 7,924,200 |
| Total stockholders’ equity | US$ in thousands | 2,896,900 | 2,277,800 | 2,285,500 | 3,259,300 | 2,276,400 |
| Financial leverage ratio | 4.62 | 3.12 | 3.18 | 2.57 | 3.48 |
June 30, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $13,396,300K ÷ $2,896,900K
= 4.62
The financial leverage ratio of Tapestry Inc has demonstrated fluctuating trends over the past five years. In Jun 30, 2024, the ratio stood at 4.62, reflecting an increase from the previous year's 3.12. This indicates that the company relied more on debt to finance its operations and growth in the most recent fiscal year. Comparing to Jun 30, 2023 and Jun 30, 2021 when the ratios were 3.12 and 2.57 respectively, the current year's ratio of 4.62 suggests a significant rise in leverage.
In Jun 30, 2022, the ratio was 3.18, slightly higher than the ratio in Jun 30, 2020, which was 3.48. However, it is important to note that the ratio in 2022 was relatively lower compared to the figures in 2020 and 2024. Overall, the trend indicates some degree of volatility in the financial leverage ratio of Tapestry Inc over the specified period, with a notable increase in leverage in 2024. This suggests potential shifts in the company's capital structure and financing strategies, which may warrant further investigation and monitoring.
Peer comparison
Jun 30, 2024