Landbridge Llc Shares Representing Liability(Lb) Financials: Financial Leverage Compared To Industry Average, Plus Other Key Ratios

Report Profitability Growth Liquidity Solvency Valuation

debt to assets debt to equity equity multiplier financial leverage interest coverage

Solvency Trend (Last 5 Years)

Solvency - financial leverage

This chart shows the historical trend of financial leverage for LB compared to its industry average over the recent years.

Ratio Definition and Interpretation

Name: Financial Leverage

Definition: Financial leverage tells you how much borrowed money the company uses to boost its size and profits. Using leverage can help a business grow faster, but it also increases pressure if sales slow down. Moderate leverage is common and often healthy. Excessive leverage can be dangerous, especially during tough economic times.

Interpretation:
• In '2024', LB's financial leverage was -4.21, indicating how much debt is used to finance assets. Industry average for Oil & Gas Production in '2024' stood at 1.90.
Overall, LB's financial leverage has been volatile but generally stable over the past 1 years.

Formula: Financial Leverage = Average Total Assets / Average Shareholders' Equity

Good Range: 1 to 3 common; above 3 may indicate high leverage risk.