Wabash National Corporation (WNC)
Financial leverage ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,411,530 | 1,362,810 | 1,203,520 | 1,107,070 | 1,161,470 |
| Total stockholders’ equity | US$ in thousands | 188,830 | 549,496 | 397,613 | 325,539 | 404,879 |
| Financial leverage ratio | 7.48 | 2.48 | 3.03 | 3.40 | 2.87 |
December 31, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,411,530K ÷ $188,830K
= 7.48
The financial leverage ratio of Wabash National Corporation has exhibited significant fluctuations over the past five years. The ratio increased from 2.87 in December 2020 to 3.40 in December 2021, indicating a higher level of financial leverage in the company's capital structure. However, in December 2022, the financial leverage ratio decreased to 3.03, suggesting a moderation in the company's overall leverage.
Subsequently, by December 2023, the financial leverage ratio decreased even further to 2.48, indicating a potential reduction in the company's reliance on debt financing. Notably, in December 2024, the financial leverage ratio spiked to 7.48, signaling a significant increase in leverage, possibly due to a substantial debt restructuring or capital injection.
Overall, the fluctuation in Wabash National Corporation's financial leverage ratio over the analyzed period highlights varying levels of debt utilization and capital structure adjustments, which may impact the company's risk profile and financial stability. Further analysis and context would be necessary to fully understand the underlying reasons for these fluctuations and their implications for the company's financial health.