Antero Midstream Partners LP (AM)

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 0.54 0.55 0.55 0.55 0.56 0.57 0.57 0.58 0.58 0.56 0.57 0.56 0.56 0.56 0.56 0.56 0.55 0.55 0.54 0.54
Debt-to-capital ratio 0.60 0.60 0.60 0.60 0.60 0.60 0.61 0.60 0.61 0.59 0.59 0.58 0.58 0.57 0.57 0.57 0.56 0.56 0.55 0.55
Debt-to-equity ratio 1.47 1.49 1.50 1.48 1.49 1.51 1.54 1.53 1.53 1.42 1.42 1.39 1.37 1.34 1.33 1.32 1.28 1.26 1.22 1.20
Financial leverage ratio 2.72 2.71 2.71 2.67 2.67 2.68 2.67 2.65 2.64 2.52 2.50 2.47 2.42 2.39 2.38 2.35 2.32 2.28 2.27 2.23

The solvency ratios of Antero Midstream Partners LP indicate its ability to meet its long-term financial obligations. The debt-to-assets ratio has been relatively stable around the range of 0.54 to 0.58 over the past few years, implying that approximately 54% to 58% of the company's assets are financed by debt.

The debt-to-capital ratio shows a slightly increasing trend from 0.55 to 0.60, with occasional fluctuations. This ratio represents the proportion of the company's capital that is financed by debt, reflecting the company's reliance on debt for funding its operations.

The debt-to-equity ratio has shown a consistent upward trend from 1.20 to 1.47, indicating an increasing proportion of the company's financing is coming from debt relative to equity. This could raise concerns about the company's financial leverage and ability to manage its debt levels effectively.

The financial leverage ratio has also exhibited a rising trend from 2.23 to 2.72, indicating an increasing amount of debt relative to equity in the company's capital structure. A higher financial leverage ratio suggests higher financial risk due to increased reliance on debt financing.

Overall, the increasing trend in both the debt-to-equity ratio and financial leverage ratio indicates a growing level of financial risk and leverage for Antero Midstream Partners LP, which may warrant closer monitoring of its long-term solvency and debt management strategies.

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 109.79 102.15 103.21 102.24 102.34 101.56 98.51 96.65 94.38 92.47 93.53 98.89 100.08 101.16 109.35 111.46 -26.12 -97.55 -213.33 -230.80

Antero Midstream Partners LP's interest coverage ratio has shown a significant improvement over the past few quarters. The ratio was deeply negative, indicating insufficient earnings to cover interest expenses, in the first half of 2020. However, starting from the first quarter of 2021, the company's interest coverage turned positive and has been consistently increasing since then.

As of December 31, 2024, the interest coverage ratio stands at 109.79, indicating that the company's operating income is more than sufficient to cover its interest expenses. This positive trend suggests that Antero Midstream Partners LP has improved its financial health and reduced its risk of defaulting on interest payments. It is important for investors and creditors as a higher interest coverage ratio signifies the company's ability to service its debt obligations comfortably.