ANSYS Inc (ANSS)
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 | 0.09 | 0.10 | 0.10 | 0.11 | 0.10 | 0.11 | 0.11 | 0.12 | 0.11 | 0.12 | 0.12 | 0.12 | 0.12 | 0.13 | 0.13 | 0.14 | 0.13 | 0.09 | 0.09 | 0.09 |
| Debt-to-capital ratio | 0.11 | 0.11 | 0.12 | 0.12 | 0.12 | 0.13 | 0.13 | 0.14 | 0.13 | 0.14 | 0.14 | 0.15 | 0.14 | 0.15 | 0.15 | 0.16 | 0.16 | 0.11 | 0.11 | 0.11 |
| Debt-to-equity ratio | 0.12 | 0.13 | 0.13 | 0.14 | 0.14 | 0.15 | 0.15 | 0.16 | 0.15 | 0.17 | 0.17 | 0.17 | 0.17 | 0.17 | 0.18 | 0.19 | 0.19 | 0.12 | 0.12 | 0.13 |
| Financial leverage ratio | 1.32 | 1.31 | 1.31 | 1.32 | 1.36 | 1.33 | 1.34 | 1.36 | 1.37 | 1.36 | 1.37 | 1.39 | 1.41 | 1.38 | 1.39 | 1.41 | 1.45 | 1.35 | 1.36 | 1.37 |
ANSYS Inc's solvency ratios indicate the company's ability to meet its long-term financial obligations.
- The debt-to-assets ratio has remained relatively stable around 0.10 over the last few years, indicating that the company's debt level compared to its total assets is low and has been well managed.
- The debt-to-capital ratio has shown a decreasing trend from 0.16 in December 2020 to 0.11 in December 2024. This indicates that the proportion of debt in ANSYS Inc's capital structure has been decreasing, which is a positive sign for the company's financial health.
- The debt-to-equity ratio has also shown a declining trend from 0.19 in December 2020 to 0.12 in December 2024. This suggests that the company has been relying less on debt financing and has been increasing its equity position, which is typically viewed favorably by investors.
- The financial leverage ratio, which reflects the company's total assets in relation to its equity, has shown a generally decreasing trend, indicating that ANSYS Inc has been able to finance its operations more through equity rather than debt, leading to lower leverage levels over time.
Overall, based on the solvency ratios analyzed, ANSYS Inc appears to have a strong financial position with a conservative debt structure and improving solvency over the years, reflecting effective management of its long-term financial obligations.
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 | 16.01 | 14.82 | 12.83 | 11.51 | 13.56 | 13.00 | 16.46 | 21.26 | 26.32 | 34.61 | 41.49 | 46.26 | 42.54 | 45.71 | 48.91 | 48.71 | 45.95 | 37.81 | 45.75 | 66.12 |
Interest coverage ratio measures a company's ability to meet its interest obligations on outstanding debt. A higher ratio indicates a greater capacity to cover interest payments. Analyzing ANSYS Inc's interest coverage ratio over the period from March 31, 2020, to December 31, 2024, reveals a declining trend, starting at 66.12 in March 2020 and gradually decreasing to 16.01 by December 2024.
The ratio fell consistently from March 2020 to December 2023, signaling potentially increasing financial risk as the company may have had more difficulty meeting its interest payments. However, there was a slight improvement in the ratio in the subsequent quarters of March 2024 and June 2024, indicating a potential stabilization of the company's ability to cover its interest expenses.
Overall, the declining trend in interest coverage ratio for ANSYS Inc suggests a need for the company to carefully manage its debt levels and interest obligations to ensure financial stability and sustainability in the long term.