Broadridge Financial Solutions Inc (BR)
Solvency ratios
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 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 | 3.22 | 3.48 | 3.69 | 3.63 | 3.80 | 3.62 | 3.87 | 3.82 | 3.67 | 4.22 | 4.51 | 4.25 | 4.26 | 4.58 | 4.64 | 4.58 | 4.49 | 3.26 | 3.39 | 3.36 |
Based on the provided data, the analysis of Broadridge Financial Solutions Inc.'s solvency ratios reveals the following insights:
1. Debt-to-assets ratio:
The ratio consistently reports a value of zero throughout all periods from September 2020 to June 2025. This indicates that the company either maintains no debt in relation to its assets or the debt figures are negligible or not reported in the dataset. A zero debt-to-assets ratio suggests an absence of leverage, emphasizing a potentially equity-funded capital structure with no reliance on debt financing.
2. Debt-to-capital ratio:
Similar to the debt-to-assets ratio, this ratio remains at zero across all time points. It implies that there is no debt incorporated within the company's capital structure relative to its total capital. Consequently, the firm is entirely financed through equity, reflecting a conservative leverage policy or an absence of debt issuance during this period.
3. Debt-to-equity ratio:
The debt-to-equity ratio also remains at zero throughout the dataset, reinforcing the observation that the company has not utilized debt financing relative to equity at any reported period. This zero ratio underscores a potentially leverage-free operation with all funding sourced from equity holders.
4. Financial leverage ratio:
Despite the zero values in other debt-related ratios, the financial leverage ratio is finite and fluctuates over time, ranging approximately from 3.22 to 4.64. This ratio measures the extent to which the company uses debt to finance its assets and indicates the degree of financial risk or leverage employed. The positive and relatively stable leverage ratios, despite the zero debt ratios, could point to accounting conventions, internal metrics, or models that incorporate other financial components in their calculations, or possibly reflect the use of off-balance-sheet financing methods.
Overall, the data signals that Broadridge Financial Solutions Inc. maintains a highly conservative capital structure characterized by negligible or zero reported debt levels. The zero ratios across debt-to-assets, debt-to-capital, and debt-to-equity suggest an absence of leverage, which may have implications for the company's risk profile, cost of capital, and financial flexibility. Notably, the consistent leverage ratios imply that other financial factors or internal metrics may influence the company's perceived leverage, regardless of reported debt levels.
Coverage ratios
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 5.23 | 8.04 | 7.50 | 6.76 | 6.82 | 6.72 | 6.53 | 6.56 | 6.49 | 6.50 | 7.34 | 8.05 | 8.73 | 9.23 | 10.01 | 11.75 | 13.13 | 12.84 | 11.79 | 10.28 |
The interest coverage ratio of Broadridge Financial Solutions Inc. over the period from September 2020 through June 2025 exhibits notable variations with an overall trend indicative of strong debt servicing capacity. Starting with a high ratio of 10.28x as of September 30, 2020, the metric increased substantially through December 2020 and March 2021, reaching a peak of approximately 13.13x in June 2021. During this interval, the company demonstrated robust earnings relative to its interest obligations, reflecting conservative leverage and effective income generation.
From mid-2021 onward, the ratio experienced a gradual decline, falling to around 8.05x by September 2022. This downward trend persisted into 2023, with the ratio decreasing to approximately 6.50x by March 2023. The low point of roughly 6.49x was observed in June 2023, indicating a reduced buffer for covering interest expenses compared to earlier periods. Despite this decline, the ratio remained above 6x, suggesting that the company continued to generate sufficient operating income to meet interest obligations comfortably.
Moving into late 2023 and early 2024, the ratio modestly recovered, reaching about 7.50x in December 2024 and further improving to 8.04x in March 2025. These increases imply an enhancement in earnings or a reduction in interest expenses, resulting in improved coverage. As of June 2025, the ratio declined slightly to 5.23x, which remains above typical thresholds for concern but reflects some contraction relative to earlier high points.
Overall, Broadridge Financial Solutions Inc.'s interest coverage ratio has demonstrated resilience, with periods of strong coverage interspersed with gradual declines. The fluctuations may reflect changes in operational earnings, interest expense levels, or both, but the ratio has generally remained at levels indicating the company's capacity to comfortably service its interest obligations over the analyzed period.