Berry Global Group Inc (BERY)
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 | 0.00 | 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 | 4.60 | 4.74 | 4.85 | 4.85 | 5.16 | 4.89 | 5.04 | 5.05 | 5.31 | 5.43 | 5.28 | 5.26 | 5.62 | 5.95 | 6.52 | 7.02 | 7.98 | 8.95 | 10.27 | 9.53 |
Based on the solvency ratios of Berry Global Group Inc provided in the table, we can observe the following trends:
1. Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio have consistently been reported as 0.00 across all the periods listed. This indicates that the company has not used debt financing to fund its assets or capital structure during these periods.
2. The Financial leverage ratio, which reflects the proportion of a company's assets that are financed by debt, shows a fluctuating trend over the periods. The ratio has ranged from 4.60 to 10.27 over the past few years, with a general upward trend. This suggests that the company's reliance on debt to finance its assets has been increasing over time.
3. The increasing trend in the Financial leverage ratio may indicate a higher level of financial risk for the company, as higher leverage ratios typically imply higher financial leverage and potential financial distress if the company faces challenges in servicing its debt obligations.
In summary, while the Debt-to-assets, Debt-to-capital, and Debt-to-equity ratios show no debt financing activities, the increasing trend in the Financial leverage ratio raises concerns about the company's increasing reliance on debt to finance its operations and the associated financial risks.
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 | 3.01 | 3.20 | 3.07 | 3.34 | 4.59 | 4.82 | 5.30 | 5.69 | 5.75 | 5.51 | 5.40 | 5.07 | 3.85 | 5.17 | 7.32 | 12.97 | 393.00 | 9.37 | 5.45 | 3.75 |
The interest coverage ratio of Berry Global Group Inc has fluctuated over the past few quarters, ranging from 3.01 to 393.00. Generally, an interest coverage ratio above 1 indicates that a company can comfortably meet its interest obligations.
In this case, Berry Global's interest coverage ratio has been consistently above 3 for the majority of the periods, which suggests that the company has been able to cover its interest expenses adequately with its operating income.
However, there are a few outliers in the data, such as the exceptionally high ratio of 393.00 in the December 2020 quarter. Such outliers can sometimes be attributed to non-recurring or extraordinary items impacting the financial results.
Overall, the trend indicates that Berry Global Group Inc has maintained a healthy interest coverage ratio over time, which reflects its ability to generate sufficient earnings to cover its interest costs and indicates a sound financial position in terms of servicing its debt obligations.