WESCO International Inc (WCC)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 15,061,400 | 15,060,900 | 14,811,700 | 12,617,700 | 11,880,200 |
| Total stockholders’ equity | US$ in thousands | 4,970,700 | 5,037,100 | 4,449,570 | 3,776,210 | 3,336,390 |
| Financial leverage ratio | 3.03 | 2.99 | 3.33 | 3.34 | 3.56 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $15,061,400K ÷ $4,970,700K
= 3.03
The financial leverage ratio of WESCO International Inc has shown a gradual decrease over the past five years, declining from 3.56 on December 31, 2020, to 3.03 on December 31, 2024. This trend suggests that the company has been reducing its reliance on debt to finance its operations and investments. However, it is important to note that the ratio fluctuated slightly in the intervening years, indicating potential shifts in the company's capital structure or debt management strategies. Overall, the decreasing trend in the financial leverage ratio is generally viewed positively as it signifies a lower level of financial risk and potential for greater financial stability in the long term.
Peer comparison
Dec 31, 2024