AbbVie Inc (ABBV)
Solvency ratios
| Dec 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | — |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | — |
| Financial leverage ratio | 40.65 | 23.78 | 20.94 | 18.59 | 13.00 | 11.26 | 10.52 | 10.14 | 8.04 | 8.84 | 9.77 | 8.80 | 9.51 | 10.99 | 11.77 | 10.98 | 11.51 | 9.80 | 10.17 | — |
The solvency ratios of AbbVie Inc indicate a strong financial position in terms of leverage and debt management. The Debt-to-assets ratio has consistently remained at 0.00 across all reported periods, indicating that the company has no debt in relation to its total assets, which is a positive sign of financial stability.
The Debt-to-capital ratio has also been stable at 0.00 or not reported throughout the analyzed periods, suggesting that the company relies primarily on equity financing rather than debt to fund its operations and investments. This further reinforces AbbVie's solid financial position and prudent capital structure.
Similarly, the Debt-to-equity ratio has consistently remained at 0.00 or not reported, indicating that the company has a minimal level of debt in relation to its equity, reflecting a healthy balance sheet composition and low financial risk.
The Financial leverage ratio, which measures the extent of a company's financial leverage, has shown some fluctuations but generally remained at manageable levels. The ratio peaked at 40.65 by the end of December 31, 2024, which may signal increased financial risk due to higher leverage. However, it is important to note that this ratio should be interpreted in conjunction with other financial metrics to get a comprehensive view of AbbVie's overall financial health.
Overall, AbbVie Inc's solvency ratios demonstrate a sound financial position with low debt levels and effective debt management practices, indicating stability and resilience in the face of financial risks. Investors and stakeholders may find these ratios favorable, highlighting the company's ability to meet its financial obligations and sustain long-term growth.
Coverage ratios
| Dec 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 3.65 | 6.25 | 6.19 | 6.63 | 7.03 | 7.72 | 8.85 | 9.19 | 9.90 | 10.15 | 9.94 | 9.25 | 8.62 | 8.26 | 7.60 | 6.55 | 6.40 | 5.32 | 5.74 | 7.22 |
AbbVie Inc's interest coverage ratio has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The interest coverage ratio measures the company's ability to pay its interest expenses with its operating income. A higher interest coverage ratio indicates a stronger ability to meet interest obligations.
The interest coverage ratio for AbbVie Inc started at 7.22 on March 31, 2020, and experienced some fluctuations before peaking at 10.15 on September 30, 2022. This suggests that the company had a comfortable cushion to cover its interest payments during that period. However, the ratio started declining after reaching its peak, reaching 3.65 on December 31, 2024, which is a significant drop compared to the previous periods.
Overall, AbbVie Inc's interest coverage ratio has displayed some volatility, with periods of strong coverage followed by declines. It is important for investors and stakeholders to monitor this ratio closely as it provides insights into the company's ability to manage its debt and interest obligations.