Worthington Steel Inc (WS)
Financial leverage ratio
| May 31, 2025 | May 31, 2024 | Aug 31, 2023 | May 31, 2023 | Aug 31, 2022 | ||
|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,961,800 | 1,866,400 | 1,764,360 | 1,764,360 | 2,084,030 |
| Total stockholders’ equity | US$ in thousands | 1,074,100 | 985,300 | 1,028,960 | 1,028,960 | 1,133,150 |
| Financial leverage ratio | 1.83 | 1.89 | 1.71 | 1.71 | 1.84 |
May 31, 2025 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,961,800K ÷ $1,074,100K
= 1.83
The financial leverage ratio of Worthington Steel Inc has exhibited fluctuations over the specified period. As of August 31, 2022, the ratio stood at 1.84, indicating a certain level of debt relative to equity used to finance the company’s assets. This ratio decreased to 1.71 by May 31, 2023, and remained steady through August 31, 2023, suggesting a stabilization in the company’s leverage position during this interval. Subsequently, the ratio increased to 1.89 by May 31, 2024, signaling a marginal rise in the company’s reliance on debt to fund its assets, which could be indicative of increased borrowing or leverage strategies. By May 31, 2025, the ratio slightly decreased to 1.83, suggesting a modest reduction in leverage but still remaining elevated relative to the earlier periods. Overall, the trend reflects periods of both stabilization and incremental change in leverage, with recent data indicating a slight overall increase in financial leverage compared to the earlier years, potentially pointing to a strategic shift towards greater debt utilization.
Peer comparison
May 31, 2025