Autodesk Inc (ADSK)
Solvency ratios
| Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.23 | 0.23 | 0.25 | 0.25 | 0.25 | 0.24 | 0.26 | 0.28 | 0.28 | 0.26 | 0.31 | 0.22 | 0.22 | 0.22 | 0.28 | 0.28 | 0.30 | 0.26 | 0.26 | 0.29 |
| Debt-to-capital ratio | 0.51 | 0.55 | 0.61 | 0.65 | 0.72 | 0.67 | 0.72 | 0.75 | 0.77 | 0.73 | 0.67 | 0.55 | 0.59 | 0.63 | 0.96 | 0.96 | 1.09 | 1.09 | 1.15 | 1.16 |
| Debt-to-equity ratio | 1.06 | 1.23 | 1.54 | 1.89 | 2.54 | 1.99 | 2.52 | 3.08 | 3.35 | 2.68 | 2.05 | 1.23 | 1.45 | 1.70 | 23.62 | 24.31 | — | — | — | — |
| Financial leverage ratio | 4.55 | 5.34 | 6.23 | 7.55 | 10.11 | 8.24 | 9.53 | 11.12 | 12.13 | 10.14 | 6.66 | 5.59 | 6.47 | 7.54 | 85.78 | 85.40 | — | — | — | — |
Autodesk Inc's solvency ratios depict the company's ability to meet its long-term financial obligations. The debt-to-assets ratio has shown a relatively stable trend around 0.25 over the past few quarters, indicating that only a quarter of its assets are financed by debt.
In contrast, the debt-to-capital and debt-to-equity ratios have shown a significant increase over the periods, reaching 1.15 and 1.70 in the latest reporting period, respectively. These ratios indicate that Autodesk has been increasingly relying on debt to finance its operations and growth, which could potentially increase financial risk.
The financial leverage ratio, which reflects the overall debt level compared to total equity, has also seen a substantial increase over the periods, reaching 10.14 in the latest quarter. This high financial leverage suggests that Autodesk's capital structure is heavily reliant on debt financing, which may pose challenges in repaying debt and meeting financial obligations in the long run.
Overall, the trend in Autodesk Inc's solvency ratios indicates a growing reliance on debt financing, which could be a cause for concern regarding the company's long-term financial stability and ability to manage debt effectively.
Coverage ratios
| Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 19.52 | 25.64 | 45.42 | 42.17 | 33.07 | 21.98 | 12.43 | 13.05 | 11.63 | 11.98 | 16.86 | 13.27 | 13.60 | 10.81 | 10.22 | 9.32 | 7.09 | 6.35 | 4.32 | 2.62 |
Autodesk Inc's interest coverage ratio has exhibited some fluctuations over the past several years. The interest coverage ratio measures a company's ability to pay interest expenses on its outstanding debt. A higher ratio indicates a better ability to meet interest obligations.
From October 2019 to April 2020, the interest coverage ratio was relatively low, ranging from 2.62 to 7.09, suggesting that Autodesk Inc's ability to cover interest payments was weaker during this period. However, starting in July 2020, the interest coverage ratio began to show improvement, reaching double digits consistently in subsequent periods.
In the most recent period reported in April 2024, Autodesk Inc's interest coverage ratio was 19.52, indicating a strong ability to cover interest expenses. This upward trend in the interest coverage ratio since 2020 reflects an improved financial position and better financial health for the company.
Overall, Autodesk Inc's interest coverage ratio has shown notable improvement over the past few years, indicating the company's enhanced ability to meet its interest obligations and potential to manage its debt effectively.