Valvoline Inc (VVV)
Financial leverage ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 2,709,300 | 2,889,900 | 2,985,500 | 4,280,400 | 3,551,500 | 3,416,800 | 3,348,000 | 3,248,000 | 3,183,000 | 3,191,000 | 3,049,000 | 2,921,000 | 3,156,000 | 3,051,000 | 2,963,000 | 2,917,000 | 2,297,000 | 2,064,000 | 2,000,000 | 1,914,000 |
| Total stockholders’ equity | US$ in thousands | 64,800 | 203,200 | 285,400 | 1,372,400 | 289,300 | 306,600 | 225,500 | 200,300 | 167,300 | 134,500 | 23,000 | -56,000 | -55,000 | -76,000 | -188,000 | -237,000 | -196,000 | -257,800 | -252,000 | -298,000 |
| Financial leverage ratio | 41.81 | 14.22 | 10.46 | 3.12 | 12.28 | 11.14 | 14.85 | 16.22 | 19.03 | 23.72 | 132.57 | — | — | — | — | — | — | — | — | — |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,709,300K ÷ $64,800K
= 41.81
The financial leverage ratio of Valvoline Inc has exhibited significant fluctuations over the past several quarters, ranging from 3.12 to 41.81.
The highest financial leverage ratio of 41.81 in Q1 2024 indicates a relatively high level of debt utilization compared to the company's equity. This may suggest that Valvoline has taken on a significant amount of debt to finance its operations or investments during this period.
In contrast, the lowest ratio of 3.12 in Q2 2023 reflects a much lower level of debt relative to equity, indicating a more conservative capital structure or reduced reliance on debt financing during that quarter.
Overall, the fluctuating trend in Valvoline's financial leverage ratio suggests varying degrees of financial risk and leverage management throughout the analyzed periods. It is important for investors and stakeholders to closely monitor these ratios to assess the company's capital structure and financial health.
Peer comparison
Dec 31, 2023