Becton Dickinson and Company (BDX)

Solvency ratios

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 Dec 31, 2019
Debt-to-assets ratio 0.31 0.33 0.30 0.27 0.28 0.28 0.29 0.27 0.26 0.28 0.32 0.31 0.32 0.29 0.32 0.29 0.32 0.32 0.31 0.33
Debt-to-capital ratio 0.41 0.41 0.38 0.36 0.36 0.37 0.38 0.36 0.35 0.37 0.42 0.40 0.42 0.39 0.42 0.39 0.42 0.42 0.45 0.44
Debt-to-equity ratio 0.69 0.70 0.62 0.56 0.57 0.58 0.62 0.56 0.55 0.58 0.72 0.68 0.72 0.65 0.71 0.65 0.72 0.71 0.80 0.80
Financial leverage ratio 2.21 2.15 2.11 2.06 2.05 2.04 2.12 2.09 2.09 2.09 2.23 2.21 2.28 2.25 2.21 2.22 2.27 2.25 2.55 2.45

The solvency ratios of Becton Dickinson and Company over the analyzed periods indicate the company's ability to meet its long-term financial obligations.

The debt-to-assets ratio has ranged between 0.26 and 0.33, with a slight upward trend in recent quarters. This ratio suggests that approximately 26% to 33% of the company's assets have been financed by debt, indicating a moderate level of leverage.

The debt-to-capital ratio has fluctuated between 0.35 and 0.45, demonstrating the proportion of the company's capital structure funded by debt. The consistent values above 0.35 suggest that debt plays a significant role in financing Becton Dickinson's operations.

The debt-to-equity ratio has shown variability between 0.55 and 0.80, with a general increasing trend over the periods. This indicates that the company has increased its reliance on debt compared to equity for financing, potentially raising concerns about its financial risk.

The financial leverage ratio has fluctuated between 2.04 and 2.55, indicating the company's overall level of financial leverage. The increasing trend in recent periods suggests that Becton Dickinson has been taking on more debt relative to its equity, which poses risks in terms of financial stability and flexibility.

In conclusion, while the company's solvency ratios show relatively stable patterns, the increasing reliance on debt for financing raises concerns about its long-term financial health and ability to manage debt obligations effectively.

Coverage ratios

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 Dec 31, 2019
Interest coverage 4.64 4.28 4.41 4.24 4.58 5.07 5.07 5.23 5.84 5.61 5.69 4.96 5.74 5.28 4.61 4.33 2.77 2.54 2.86 2.42

The interest coverage ratio for Becton Dickinson and Company has shown some variability over the past several quarters. The ratio has generally remained above 4, indicating that the company's operating income is sufficient to cover its interest expenses with a comfortable margin.

In the most recent quarter, the interest coverage ratio was 4.64, which suggests that the company earned 4.64 times the amount needed to cover its interest expenses. This indicates a relatively healthy financial position.

Looking at the trend over the past few quarters, we can see that there have been fluctuations in the interest coverage ratio, but it has generally remained above 4. This implies that the company has been effectively managing its debt and generating enough operating income to comfortably cover its interest obligations.

Overall, the interest coverage ratio for Becton Dickinson and Company reflects a consistent ability to meet its interest payments with its operating income, providing a positive signal to investors and creditors about the company's financial health.

See also:

Becton Dickinson and Company Solvency Ratios (Quarterly Data)