Berry Global Group Inc (BERY)
Solvency ratios
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | |
|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 5.16 | 5.31 | 5.62 | 7.98 | 10.18 |
The solvency ratios of Berry Global Group Inc show the company's ability to meet its long-term debt obligations. The debt-to-assets ratio has been relatively stable over the past five years, indicating that the company has been able to effectively manage its debt in relation to its total assets. The decreasing trend from 2020 to 2023 suggests an improvement in the company's ability to cover its debt with its assets.
Similarly, the debt-to-capital ratio has remained relatively constant, indicating that the company has maintained a consistent level of debt in relation to its total capital. This stability suggests a prudent approach to capital structure management.
The debt-to-equity ratio has shown a decreasing trend, indicating that the company has reduced its reliance on equity to finance its activities, which can be a positive indicator of financial health. Additionally, the financial leverage ratio has also decreased over the years, signifying a reduction in the company's reliance on debt to finance its operations.
Overall, Berry Global Group Inc's solvency ratios reflect a stable and improving financial position, as the company has managed to decrease its reliance on debt and improve its overall financial leverage over the past five years. This trend suggests a strengthening solvency position and an enhanced ability to meet long-term debt obligations.
Coverage ratios
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | |
|---|---|---|---|---|---|
| Interest coverage | 1,079.00 | 621.00 | 646.00 | 393.00 | 97.40 |
The interest coverage ratio measures a company's ability to meet interest obligations on its debt, indicating its capacity to fulfill financial commitments. Berry Global Group Inc's interest coverage ratio has shown a generally improving trend over the past five years. As of September 30, 2023, the interest coverage ratio stands at 3.86, a slight decrease from the prior period but still indicating that the company generated almost four times the income necessary to cover its interest expenses. This suggests a strong ability to meet interest payments from its operating income. The consistent improvement in the interest coverage ratio reflects positively on the company's financial strength and ability to manage its debt obligations.