United Therapeutics Corporation (UTHR)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 7,364,000 | 7,167,000 | 6,044,500 | 5,169,100 | 4,615,000 |
| Total stockholders’ equity | US$ in thousands | 6,444,000 | 5,984,800 | 4,796,700 | 3,958,900 | 3,395,200 |
| Financial leverage ratio | 1.14 | 1.20 | 1.26 | 1.31 | 1.36 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $7,364,000K ÷ $6,444,000K
= 1.14
The financial leverage ratio of United Therapeutics Corporation has been gradually declining from 1.36 as of December 31, 2020, to 1.14 as of December 31, 2024. This indicates that the company is relying less on debt financing in relation to its equity over the years, which generally reflects a more conservative capital structure. A decreasing trend in the financial leverage ratio can signify improved financial stability and reduced risk of financial distress. This suggests that United Therapeutics Corporation has been effectively managing its capital structure by reducing its dependency on debt to fund its operations and growth.
Peer comparison
Dec 31, 2024