Ball Corporation (BALL)

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 0.42 0.44 0.44 0.43 0.40 0.38 0.40 0.39 0.41 0.44 0.42 0.45 0.45 0.45 0.43 0.45 0.37 0.41 0.40 0.40
Debt-to-capital ratio 0.68 0.69 0.70 0.70 0.70 0.69 0.71 0.68 0.69 0.71 0.69 0.70 0.72 0.73 0.72 0.74 0.68 0.66 0.67 0.65
Debt-to-equity ratio 2.14 2.23 2.29 2.37 2.31 2.18 2.42 2.10 2.21 2.40 2.23 2.32 2.53 2.66 2.59 2.84 2.15 1.97 2.00 1.89
Financial leverage ratio 5.12 5.06 5.26 5.53 5.75 5.76 6.04 5.37 5.44 5.44 5.26 5.15 5.57 5.88 6.01 6.29 5.89 4.83 4.94 4.77

Based on the provided data, we can see the trends in Ball Corp.'s solvency ratios over the past eight quarters.

The Debt-to-assets ratio has been relatively stable, ranging from 0.41 to 0.48, indicating that around 41% to 48% of the company's assets are financed by debt.

The Debt-to-capital ratio shows a slightly increasing trend over the quarters, rising from 0.69 to 0.73. This suggests that the proportion of debt in the company's capital structure has been increasing gradually.

The Debt-to-equity ratio exhibits a more significant increase from 2.20 to 2.66, indicating that the company is relying more on debt financing in relation to equity.

The Financial leverage ratio, which reflects the proportion of total assets that are financed by debt, has shown fluctuations over the quarters, with a noticeable increase from 5.37 to 5.75. This indicates that the company's reliance on debt to finance its assets has been increasing.

Overall, the trends in the solvency ratios suggest that Ball Corp. has been gradually increasing its leverage and reliance on debt financing over the past quarters, which may have implications for the company's financial risk and ability to meet its debt obligations in the long run. Investors and analysts should continue to monitor these ratios to assess the company's solvency 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 2.63 2.55 3.29 2.54 3.77 4.93 4.09 5.89 4.78 4.47 4.97 4.24 3.65 3.19 2.48 2.78 2.94 2.96 3.22 3.05

The interest coverage ratio is a measure of a company's ability to meet its interest obligations from its earnings before interest and taxes (EBIT). A higher interest coverage ratio indicates that the company is more capable of servicing its debt.

Based on the data provided for Ball Corp., the interest coverage ratio has been decreasing over the quarters, from 5.47 in Q1 2022 to 3.15 in Q4 2023. This downward trend suggests that the company's ability to cover its interest expenses with its operating income has weakened.

The company's interest coverage ratio has fluctuated within a range of 2.88 to 5.47 over the past eight quarters. While a ratio above 1 indicates that the company is generating enough operating income to cover its interest payments, a decreasing trend may raise concerns about their ability to manage debt obligations in the future.

It is essential for Ball Corp. to closely monitor its interest coverage ratio and take proactive measures to improve it, such as increasing profitability, reducing debt levels, or refinancing debt at lower interest rates, to maintain financial stability and attractiveness to investors.