Xencor Inc (XNCR)

Financial leverage ratio

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Total assets	US$ in thousands	952,692	846,266	838,211	703,244	670,250
Total stockholders’ equity	US$ in thousands	668,796	727,496	733,504	572,444	593,201
Financial leverage ratio		1.42	1.16	1.14	1.23	1.13

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $952,692K ÷ $668,796K
= 1.42

The financial leverage ratio of Xencor Inc has shown some fluctuations over the past five years. The ratio has been ranging from 1.13 to 1.42, indicating varying levels of financial risk and debt utilization during this period.

In 2020, the ratio was at 1.23, reflecting a higher degree of financial leverage compared to the previous year. This could suggest that the company took on more debt to finance its operations or capital investments during that period.

However, in 2021 and 2022, the ratio decreased to 1.14 and 1.16, respectively, indicating a slight reduction in financial leverage. This could imply that the company was able to manage its debt levels more effectively or had improved its financial position during those years.

The financial leverage ratio then increased to 1.42 in 2023, surpassing the ratios of the previous years. This significant increase could suggest that Xencor Inc took on more debt relative to its equity in 2023, potentially signaling a higher level of financial risk or leverage in that year.

Overall, the trend in Xencor Inc's financial leverage ratio highlights fluctuations in the company's debt levels and financial risk over the past five years, indicating the importance of closely monitoring and managing its leverage to ensure financial stability and sustainability.