Tootsie Roll Industries Inc (TR)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,147,180 | 1,084,390 | 1,018,780 | 1,018,620 | 984,558 |
| Total stockholders’ equity | US$ in thousands | 870,743 | 823,422 | 783,171 | 769,042 | 763,327 |
| Financial leverage ratio | 1.32 | 1.32 | 1.30 | 1.32 | 1.29 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,147,180K ÷ $870,743K
= 1.32
The financial leverage ratio of Tootsie Roll Industries Inc has shown consistency over the past five years, ranging from 1.29 to 1.32. This ratio indicates that the company relies moderately on debt financing to support its operations and growth initiatives. A financial leverage ratio of around 1.3 suggests a balanced capital structure, with a mix of debt and equity funding. Tootsie Roll's stable financial leverage ratio demonstrates a cautious approach to debt management, which helps in maintaining financial stability and minimizing financial risks associated with excessive borrowing.
Peer comparison
Dec 31, 2024