Upbound Group Inc. (UPBD)
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 | 2,649,660 | 2,578,490 | 2,620,280 | 2,626,980 | 2,721,430 | 2,626,080 | 2,585,920 | 2,741,120 | 2,763,620 | 2,768,600 | 2,767,130 | 2,777,120 | 2,993,330 | 3,053,670 | 3,035,300 | 3,006,960 | 1,750,980 | 1,667,560 | 1,576,630 | 1,607,060 |
| Total stockholders’ equity | US$ in thousands | 628,984 | 611,820 | 596,301 | 578,295 | 560,372 | 597,245 | 625,593 | 670,342 | 525,146 | 548,163 | 558,834 | 523,058 | 513,276 | 854,079 | 825,164 | 742,187 | 592,080 | 542,337 | 486,576 | 476,023 |
| Financial leverage ratio | 4.21 | 4.21 | 4.39 | 4.54 | 4.86 | 4.40 | 4.13 | 4.09 | 5.26 | 5.05 | 4.95 | 5.31 | 5.83 | 3.58 | 3.68 | 4.05 | 2.96 | 3.07 | 3.24 | 3.38 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,649,660K ÷ $628,984K
= 4.21
The financial leverage ratio of Upbound Group Inc. has shown fluctuations over the analyzed period, ranging from 2.96 to 5.83. This ratio indicates the company's reliance on debt financing to support its operations and growth initiatives.
The trend of the financial leverage ratio shows an initial decrease from December 31, 2020, to September 30, 2021, suggesting a potential reduction in debt relative to equity during this period. However, from March 31, 2021, onwards, the ratio begins to increase significantly, reaching its peak at 5.83 on December 31, 2021. This substantial increase signals a higher level of debt compared to equity in the company's capital structure.
Subsequently, the financial leverage ratio fluctuates between 4.09 and 5.31 from March 31, 2022, to June 30, 2022, showing some level of volatility in the company's leverage position. From September 30, 2022, to December 31, 2024, the ratio stabilizes around the range of 4.21 to 4.86, indicating a relatively consistent level of financial leverage during this period.
Overall, the financial leverage ratio of Upbound Group Inc. reflects varying degrees of debt utilization over time, with a notable peak in late 2021 followed by some moderation and stability in subsequent periods. Further analysis and comparison with industry benchmarks may provide additional insights into the company's capital structure and financial risk profile.
Peer comparison
Dec 31, 2024