Winnebago Industries Inc (WGO)
Financial leverage ratio
| Aug 31, 2024 | Aug 26, 2023 | Aug 27, 2022 | Aug 28, 2021 | Aug 29, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 2,384,200 | 2,432,400 | 2,416,700 | 2,062,570 | 1,713,700 |
| Total stockholders’ equity | US$ in thousands | 1,273,300 | 1,368,100 | 1,263,000 | 1,056,900 | 827,500 |
| Financial leverage ratio | 1.87 | 1.78 | 1.91 | 1.95 | 2.07 |
August 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $2,384,200K ÷ $1,273,300K
= 1.87
The financial leverage ratio for Winnebago Industries Inc has shown some fluctuations over the past five years. In 2024, the ratio stood at 1.87, which indicates that the company's financial leverage was higher compared to the previous year. This suggests that Winnebago Industries relied more on debt to finance its operations in 2024.
However, looking at the trend over the five-year period, there seems to be some variability in the financial leverage ratio. In 2023, the ratio was slightly lower at 1.78, but then increased to 1.91 in 2022 before further rising to 1.95 in 2021 and peaking at 2.07 in 2020. These fluctuations suggest changes in the company's capital structure and financing decisions over the years.
Overall, a financial leverage ratio above 1 indicates that Winnebago Industries has more debt than equity in its capital structure, which can amplify returns on equity but also increase financial risk. It is important for investors and creditors to monitor the trend in this ratio to assess the company's ability to manage its debt levels effectively.
Peer comparison
Aug 31, 2024