Altair Engineering Inc (ALTR)
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 | 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 | 0.00 |
| Financial leverage ratio | 1.69 | 1.65 | 1.69 | 1.81 | 1.92 | 1.97 | 2.02 | 2.02 | 2.11 | 2.10 | 2.02 | 1.83 | 1.89 | 1.68 | 2.05 | 2.05 | 2.19 | 2.16 | 2.07 | 2.05 |
Altair Engineering Inc has maintained a consistent solvency profile, as indicated by its stable debt-to-assets, debt-to-capital, and debt-to-equity ratios, all consistently at 0.00 over the analyzed periods. This signifies that the company has no significant financial leverage through debt in relation to its assets, capital, or equity.
However, the financial leverage ratio has shown some fluctuation, starting at 2.05 in March 31, 2020, reaching a peak of 2.19 by December 31, 2020, and then gradually decreasing to 1.69 by June 30, 2024. This ratio indicates the proportion of Altair Engineering's total assets that are financed by debt. The downward trend in the financial leverage ratio over the years suggests a reduction in the company's reliance on debt to fund its operations, which could be a positive sign for its long-term financial stability and solvency.
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 | 5.94 | 7.82 | 5.02 | 3.80 | 1.82 | -1.26 | -4.14 | -8.00 | -7.00 | -5.22 | -0.79 | 1.45 | 1.23 | 1.46 | 1.42 | 1.84 | 1.06 | 0.70 | 0.06 | 0.30 |
Interest coverage ratio indicates the company's ability to meet its interest obligations from its operating income. Altair Engineering Inc's interest coverage ratio has fluctuated over the years, ranging from negative values to positive values.
The interest coverage ratio was critically low at times, with negative values like -8.00 in March 31, 2023. This suggests the company may have faced challenges in meeting its interest payments from its operating income during those periods.
However, the ratio improved significantly in the following periods, reaching values as high as 7.82 in September 30, 2024. This indicates an enhanced ability to cover interest expenses comfortably with operating income.
Overall, Altair Engineering Inc's interest coverage ratio has shown variability, reflecting fluctuations in the company's financial performance and its ability to service its debt obligations. It will be important to monitor this ratio closely for future trends and consider the company's overall financial health.