VF Corporation (VFC)

Financial leverage ratio

Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021 Mar 31, 2020
Total assets US$ in thousands 11,613,000 13,990,500 13,342,200 13,754,000 11,133,300
Total stockholders’ equity US$ in thousands 1,658,360 2,910,710 3,530,360 3,056,160 3,357,330
Financial leverage ratio 7.00 4.81 3.78 4.50 3.32

March 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $11,613,000K ÷ $1,658,360K
= 7.00

The financial leverage ratio of VF Corporation has fluctuated over the past five years, ranging from 3.32 in 2020 to 7.00 in 2024. This ratio measures the extent to which the company relies on debt to finance its operations. A higher financial leverage ratio indicates a higher level of debt relative to equity, suggesting a higher financial risk but potentially higher returns. In 2024, the financial leverage ratio of 7.00 indicates that VF Corporation has increased its reliance on debt compared to previous years, potentially signaling a more aggressive capital structure strategy. It is essential for investors and stakeholders to closely monitor changes in the financial leverage ratio to assess the company's financial risk and stability.


Peer comparison

Mar 31, 2024