Atmos Energy Corporation (ATO)

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	0.29	0.24	0.26	0.28	0.34	0.31	0.34	0.37	0.42	0.41	0.42	0.40	0.38	0.36	0.37	0.33	0.34	0.26	0.27	0.28
Debt-to-capital ratio	0.38	0.33	0.35	0.37	0.44	0.42	0.44	0.47	0.51	0.51	0.51	0.50	0.47	0.45	0.46	0.44	0.45	0.38	0.38	0.39
Debt-to-equity ratio	0.62	0.50	0.54	0.58	0.80	0.73	0.79	0.88	1.04	1.02	1.04	1.00	0.87	0.82	0.86	0.77	0.80	0.61	0.63	0.64
Financial leverage ratio	2.10	2.07	2.05	2.09	2.38	2.36	2.34	2.37	2.48	2.48	2.48	2.48	2.28	2.26	2.30	2.33	2.35	2.32	2.28	2.30

The solvency ratios of Atmos Energy Corp. indicate the company's ability to meet its long-term financial obligations and its level of leverage. The debt-to-assets ratio has been relatively stable around 0.31-0.37 over the past eight quarters, indicating that the company finances a moderate portion of its assets through debt.

The debt-to-capital ratio, which measures the proportion of debt in the company's capital structure, has also shown consistency at approximately 0.39-0.47. This suggests that while the company relies on debt financing, it maintains a balanced mix of debt and equity.

The debt-to-equity ratio has exhibited a similar trend, ranging from 0.63 to 0.89. Although there was a spike in the ratio in Q1 2023, it has since stabilized, indicating that the company's reliance on debt relative to equity has moderated.

The financial leverage ratio, a measure of the company's overall debt levels compared to its equity, has been relatively steady around 2.05-2.38. This implies that Atmos Energy Corp. has maintained a consistent level of financial leverage over the past two years.

Overall, the solvency ratios suggest that Atmos Energy Corp. has managed its debt levels effectively, maintaining a balanced capital structure and a stable level of leverage. The company's ability to sustain these ratios indicates its capacity to meet its long-term financial obligations and suggests a relatively low risk of financial distress.

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	7.95	8.28	8.10	8.29	8.46	9.29	10.25	10.55	10.84	10.81	10.97	11.24	11.08	9.84	8.51	8.28	7.63	7.30	7.51	7.21

The interest coverage ratio for Atmos Energy Corp. has been consistently strong and stable over the past eight quarters, ranging from 7.80 to 10.79. This indicates the company's ability to meet its interest obligations with its earnings before interest and taxes. The trend shows a slight fluctuation but generally remains at a healthy level above 7.0, reflecting the company's capacity to comfortably cover its interest expenses. Overall, the interest coverage ratio suggests that Atmos Energy Corp. has a solid financial position and is managing its debt obligations well.