WEC Energy Group Inc (WEC)

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	43,939,700	43,441,700	43,019,300	42,795,900	41,872,100	40,761,000	39,607,100	38,974,500	38,988,500	38,400,900	37,794,900	37,600,600	37,028,100	35,422,000	35,042,000	34,832,200	34,951,800	34,377,200	33,934,300	33,737,100
Total stockholders’ equity	US$ in thousands	11,754,600	11,783,400	11,711,800	11,667,000	11,407,300	11,385,900	11,321,000	11,273,600	10,943,600	10,938,900	10,861,300	10,797,500	10,500,100	10,481,100	10,414,100	10,374,500	10,143,800	10,081,400	10,046,600	10,014,900
Financial leverage ratio		3.74	3.69	3.67	3.67	3.67	3.58	3.50	3.46	3.56	3.51	3.48	3.48	3.53	3.38	3.36	3.36	3.45	3.41	3.38	3.37

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $43,939,700K ÷ $11,754,600K
= 3.74

The financial leverage ratio of WEC Energy Group Inc has been relatively stable over the past eight quarters, ranging from 3.46 to 3.74. This indicates that the company has been maintaining a consistent level of financial leverage during this period. A financial leverage ratio of around 3.5 to 3.7 suggests that the company is relying more on debt financing compared to equity to fund its operations and growth initiatives. Investors and creditors may view a higher financial leverage ratio as a sign of higher financial risk, as the company may have higher interest payments and debt obligations to service. It is important for WEC Energy Group Inc to carefully manage its financial leverage to ensure it is sustainable and aligns with its overall business objectives and financial stability.