Albany International Corporation (AIN)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 1.75 | 1.91 | 1.90 | 1.78 | 1.90 |
Albany International Corporation consistently shows strong solvency ratios based on the provided data. The debt-to-assets ratio, debt-to-capital ratio, and debt-to-equity ratio are all consistently at 0.00% from 2020 to 2024, indicating that the company has no debt relative to its assets, capital, or equity during this period.
Additionally, the financial leverage ratio decreased from 1.90 in 2020 to 1.75 in 2024. This indicates that the company's reliance on debt financing relative to equity has decreased over the years, reflecting potentially improved financial stability and reduced financial risk.
Overall, Albany International Corporation exhibits a solid financial position with very low debt levels and decreasing financial leverage, suggesting a comfortable solvency position and effective management of its capital structure.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Interest coverage | 8.05 | 8.98 | 10.69 | 11.88 | 11.10 |
The interest coverage ratio measures the company's ability to meet its interest obligations on debt using its operating income. For Albany International Corporation, the interest coverage ratio has shown a relatively stable trend over the past five years.
In 2020, the interest coverage ratio was 11.10, indicating that the company's operating income was able to cover its interest expense 11.10 times over. By the end of 2021, the ratio improved slightly to 11.88, suggesting a stronger ability to meet interest payments. However, in 2022, the ratio decreased to 10.69, which may raise some concerns about the company's ability to comfortably cover interest expenses.
The trend continued into 2023 and 2024, with a further decline in the interest coverage ratio to 8.98 and 8.05, respectively. These decreasing values indicate a decreasing ability to cover interest obligations with operating income over time.
Overall, while the company has shown a historically adequate ability to cover its interest payments, the declining trend in the interest coverage ratio over the past few years may warrant further analysis and attention to ensure the company's financial health and stability in meeting its debt obligations.