Woodward Inc (WWD)
Financial leverage ratio
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 4,368,920 | 4,320,310 | 4,366,260 | 4,130,800 | 4,010,200 | 4,009,560 | 4,011,530 | 3,894,810 | 3,806,450 | 3,755,790 | 3,890,540 | 4,035,240 | 4,091,000 | 4,088,660 | 4,020,770 | 3,959,500 | 3,903,340 | 3,906,670 | 4,060,280 | 4,007,170 |
| Total stockholders’ equity | US$ in thousands | 2,176,420 | 2,159,210 | 2,329,410 | 2,190,060 | 2,070,990 | 2,085,790 | 2,012,050 | 1,939,440 | 1,901,120 | 1,909,610 | 2,051,880 | 2,223,430 | 2,214,780 | 2,201,690 | 2,133,300 | 2,063,460 | 1,992,680 | 1,909,770 | 1,907,690 | 1,798,600 |
| Financial leverage ratio | 2.01 | 2.00 | 1.87 | 1.89 | 1.94 | 1.92 | 1.99 | 2.01 | 2.00 | 1.97 | 1.90 | 1.81 | 1.85 | 1.86 | 1.88 | 1.92 | 1.96 | 2.05 | 2.13 | 2.23 |
September 30, 2024 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $4,368,920K ÷ $2,176,420K
= 2.01
Woodward Inc's financial leverage ratio has fluctuated over the past few years, ranging from a low of 1.81 to a high of 2.23. The financial leverage ratio indicates the proportion of the company's assets that are financed by debt relative to equity. A ratio above 1 suggests that the company has more debt than equity in its capital structure.
Overall, Woodward Inc's financial leverage ratio has shown some volatility, but tends to hover around the 2.00 mark in recent quarters, indicating that the company relies more on debt financing than equity. This level of leverage can amplify returns for shareholders in good times but may also pose increased risks during economic downturns. It will be important for Woodward Inc to carefully manage its debt levels and financial structure to ensure sustainable growth and financial stability in the long term.