Artivion Inc (AORT)

Solvency ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Debt-to-assets ratio	0.39	0.39	0.39	0.40	0.40	0.41	0.40	0.39	0.39	0.38	0.38	0.39	0.37	0.37	0.42	0.39	0.35	0.36	0.36	0.37
Debt-to-capital ratio	0.52	0.53	0.52	0.52	0.52	0.55	0.52	0.51	0.51	0.50	0.51	0.51	0.47	0.47	0.49	0.47	0.43	0.44	0.43	0.44
Debt-to-equity ratio	1.08	1.12	1.08	1.09	1.08	1.20	1.09	1.03	1.02	0.99	1.02	1.04	0.88	0.89	0.97	0.88	0.75	0.77	0.76	0.79
Financial leverage ratio	2.81	2.85	2.75	2.70	2.68	2.91	2.72	2.63	2.64	2.63	2.69	2.67	2.40	2.40	2.34	2.25	2.12	2.14	2.12	2.15

Artivion Inc's solvency ratios provide insight into the company's ability to meet its long-term financial obligations and the extent to which it relies on debt to finance its operations.

The Debt-to-assets ratio has remained relatively stable around 0.40 over the last eight quarters, indicating that approximately 40% of the company's assets are funded by debt. This suggests a moderate level of leverage and a reasonable balance between debt and assets.

The Debt-to-capital ratio, similarly, has been consistent around 0.52 to 0.53, reflecting that debt accounts for approximately 52-53% of the company's capital structure. This indicates a moderate reliance on debt to finance its operations and investments.

The Debt-to-equity ratio, which measures the proportion of debt to equity, has fluctuated between 1.05 to 1.22. A ratio above 1 signifies that the company has more debt than equity in its capital structure. The increasing trend in this ratio over the quarters could indicate a higher financial risk and potentially strained solvency position.

The Financial leverage ratio has shown some variability, ranging from 2.63 to 2.91. This ratio measures the proportion of assets financed by debt relative to equity. A higher ratio indicates increased financial risk. Artivion Inc's financial leverage has been relatively high, suggesting a significant reliance on debt to support its operations and growth.

Overall, while Artivion Inc's solvency ratios indicate a moderate level of leverage and stable debt-to-assets and debt-to-capital ratios, the increasing trend in the debt-to-equity ratio and relatively high financial leverage ratio raise concerns about the company's financial risk and potential challenges in meeting its long-term obligations. Management should closely monitor these ratios to ensure a sustainable capital structure and financial health.

Coverage ratios

	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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Interest coverage	0.15	0.27	0.08	-0.05	0.18	-1.05	0.14	0.16	0.04	0.99	0.33	0.22	-0.05	-0.02	0.11	0.65	1.11	0.91	1.11	0.93

The interest coverage ratio of Artivion Inc has been fluctuating over the past eight quarters. The negative values in Q4 2023, Q3 2023, Q2 2023, Q4 2022, Q3 2022, Q2 2022, and Q1 2022 indicate that the company's operating income was insufficient to cover its interest expenses during those periods.

This consistent inability to cover interest payments may raise concerns about the company's financial health and ability to meet its debt obligations. The slight improvement in Q1 2023, with a positive interest coverage ratio of 0.03, suggests a modest recovery in the company's ability to meet its interest obligations, but it remains relatively low.

Assessing Artivion Inc's financial situation based on the interest coverage ratio alone, it appears that the company may be facing challenges in generating enough operating income to cover its interest expenses consistently. Investors and creditors should closely monitor the company's financial performance and debt management strategies to assess its long-term sustainability.