Valaris Ltd (VAL)
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 | 4,419,800 | 4,333,400 | 4,415,600 | 4,354,400 | 4,322,200 | 3,484,900 | 3,088,400 | 2,951,200 | 2,860,300 | 2,821,200 | 2,760,800 | 2,637,700 | 2,609,200 | 2,602,500 | 2,601,700 | 11,946,900 | 12,873,200 | 12,911,200 | 13,038,900 | 14,025,100 |
| Total stockholders’ equity | US$ in thousands | 2,244,300 | 2,114,900 | 2,176,800 | 2,020,900 | 1,987,600 | 1,200,000 | 1,266,100 | 1,352,000 | 1,297,900 | 1,214,400 | 1,140,400 | 1,022,600 | 1,060,800 | 1,036,600 | 1,089,500 | 3,463,100 | 4,374,600 | 4,518,700 | 5,190,400 | 6,298,300 |
| Financial leverage ratio | 1.97 | 2.05 | 2.03 | 2.15 | 2.17 | 2.90 | 2.44 | 2.18 | 2.20 | 2.32 | 2.42 | 2.58 | 2.46 | 2.51 | 2.39 | 3.45 | 2.94 | 2.86 | 2.51 | 2.23 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,419,800K ÷ $2,244,300K
= 1.97
Valaris Ltd's financial leverage ratio has exhibited fluctuations over the specified periods, ranging from a low of 1.97 to a high of 3.45. Generally, the trend shows that the company's financial leverage ratio increased from the first quarter of 2020 until the first quarter of 2021, reaching its peak at 3.45. Subsequently, there was a notable decline in the ratio in the second quarter of 2021 and a recovery in the third quarter of the same year.
From the second quarter of 2021 to the third quarter of 2022, the financial leverage ratio stabilized within a range of 2.20 to 2.86. However, in the fourth quarter of 2022, the ratio decreased to 2.17 before slightly increasing in the first quarter of 2023. The ratio then had a significant increase in the third quarter of 2023 to 2.90, indicating higher financial leverage during that period.
From the fourth quarter of 2023 to the fourth quarter of 2024, the financial leverage ratio generally decreased, reaching its lowest point of 1.97. This downward trend highlights a potential effort by the company to reduce its financial leverage and improve its financial position.
Overall, the fluctuation in Valaris Ltd's financial leverage ratio indicates varying levels of debt utilization and financial risk management strategies over the analyzed period. Tracking these changes can provide insights into the company's capital structure and financial health.
Peer comparison
Dec 31, 2024