Warner Music Group (WMG)
Financial leverage ratio
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 8,545,000 | 7,828,000 | 7,211,000 | 6,410,000 | 6,017,000 |
| Total stockholders’ equity | US$ in thousands | 307,000 | 152,000 | 31,000 | -63,000 | -289,000 |
| Financial leverage ratio | 27.83 | 51.50 | 232.61 | — | — |
September 30, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $8,545,000K ÷ $307,000K
= 27.83
Warner Music Group's financial leverage ratio has shown a decreasing trend over the past three years, indicating an improvement in the company's debt management. In September 2023, the financial leverage ratio stands at 27.83, down significantly from 51.50 in September 2022 and a substantial decrease from 232.61 in September 2021. This trend suggests that Warner Music Group has been reducing its reliance on debt to finance its operations and investments, which is a positive sign for the company's financial health. However, it's important to note that the financial leverage ratio for September 2020 and 2019 is not available in the provided data.
Peer comparison
Sep 30, 2023