Arlo Technologies (ARLO)
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 | 2.96 | 3.22 | 2.98 | 2.90 | 3.78 | 3.30 | 3.29 | 2.98 | 3.10 | 3.40 | 2.93 | 2.78 | 3.08 | 2.97 | 2.88 | 2.55 | 3.09 | 2.74 | 2.57 | 2.30 |
The solvency ratios of Arlo Technologies indicate a consistently strong financial position in terms of debt management. The debt-to-assets, debt-to-capital, and debt-to-equity ratios have all remained at 0.00 over the period analyzed, reflecting that the company has no debt relative to its total assets, capital, and equity. This signifies that Arlo Technologies is not relying on debt financing to support its operations and growth.
Additionally, the financial leverage ratio, which measures the company's reliance on debt to finance its operations, has fluctuated within a relatively narrow range from 2.30 to 3.78 over the period. This suggests that Arlo Technologies has managed its financial leverage effectively, maintaining a conservative approach to borrowing.
Overall, based on the solvency ratios, Arlo Technologies appears to have a solid financial structure with minimal debt obligations relative to its financial resources. This indicates a low financial risk and suggests that the company is well-positioned to weather economic downturns and take advantage of growth opportunities in a sustainable manner.
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 | — | -32.88 | -36.01 | -13.69 | -10.89 | -21.92 | -24.38 | -36.76 | -59.24 | -93.57 | -277.14 | -1,930.38 | -1,141.28 | -830.13 | -427.00 | -258.47 | -130.81 | -89.90 | -72.43 | -57.65 |
The interest coverage ratio for Arlo Technologies has shown a significant improvement over the past few years. As of December 31, 2024, the interest coverage ratio was not available, which could indicate a change in the company's financial reporting or a data gap.
From March 31, 2020, to December 31, 2023, the interest coverage ratio steadily deteriorated, reaching its lowest point of -1,930.38 on March 31, 2022, indicating that the company's earnings were insufficient to cover its interest expenses.
However, there was a notable positive turnaround in the interest coverage ratio from June 30, 2022, to December 31, 2024, where the ratio gradually improved, moving from -277.14 to an unreported value on December 31, 2024. This improvement suggests that Arlo Technologies may have successfully enhanced its earnings capacity relative to its interest obligations during this period.
Overall, the recent positive trend in the interest coverage ratio indicates a potentially healthier financial position for Arlo Technologies in terms of its ability to meet its interest payments from its operating earnings. It would be advisable to continue monitoring the company's interest coverage ratio in future periods to assess its ongoing financial health.