Xylem Inc (XYL)

Financial leverage ratio

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Total assets	US$ in thousands	16,493,000	16,112,000	7,952,000	8,276,000	8,750,000
Total stockholders’ equity	US$ in thousands	10,642,000	10,166,000	3,494,000	3,218,000	2,968,000
Financial leverage ratio		1.55	1.58	2.28	2.57	2.95

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $16,493,000K ÷ $10,642,000K
= 1.55

The financial leverage ratio of Xylem Inc has gradually decreased from 2.95 in December 31, 2020, to 1.55 in December 31, 2024. This indicates a declining trend in the company's reliance on debt to finance its operations over the years. A lower financial leverage ratio suggests that Xylem Inc is becoming less dependent on debt and may be in a stronger financial position. However, it is important to consider the reasons behind this decreasing trend and its implications for the company's growth and profitability in the future.

Peer comparison

Dec 31, 2024

Company name

Symbol

Financial leverage ratio

Xylem Inc

XYL

1.55

Enovis Corp

ENOV

1.32

Flowserve Corporation