Compass Minerals International Inc (CMP)

Solvency ratios

	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	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	0.53	0.50	0.44	0.41	0.46	0.47	0.58	0.56	0.56	0.59	0.58	0.00	0.57	0.60	0.60	0.59	0.53	0.58	0.55	0.53
Debt-to-capital ratio	0.69	0.66	0.61	0.57	0.63	0.62	0.79	0.75	0.76	0.78	0.86	0.00	0.77	0.80	0.79	0.78	0.71	0.75	0.71	0.69
Debt-to-equity ratio	2.25	1.98	1.55	1.33	1.70	1.63	3.70	2.94	3.22	3.49	6.18	0.00	3.43	4.03	3.74	3.52	2.48	2.96	2.44	2.27
Financial leverage ratio	4.26	3.93	3.52	3.23	3.68	3.46	6.41	5.24	5.75	5.88	10.57	5.40	5.98	6.75	6.26	5.93	4.72	5.07	4.44	4.28

The solvency ratios of Compass Minerals International Inc have shown fluctuations over the periods analyzed. The debt-to-assets ratio has ranged between 0.41 to 0.60, indicating that the company has, on average, used debt to finance around 44% to 60% of its total assets.

The debt-to-capital ratio has varied between 0.57 to 0.86, showing the proportion of debt in the company's capital structure has ranged from 57% to 86%. This ratio suggests that the company relies moderately on debt to fund its operations and investments.

The debt-to-equity ratio has shown significant variability, ranging from 1.33 to 6.18 over the periods analyzed. This ratio indicates the extent to which the company's operations are funded by debt compared to equity. A higher ratio implies higher financial risk, as debt levels are proportionally higher.

The financial leverage ratio, which reflects the company's total assets in relation to shareholders' equity, has fluctuated widely between 3.23 to 10.57. This suggests that the company's assets are leveraged at different levels, with significant variations in the extent of financial leverage used by the company.

Overall, the solvency ratios of Compass Minerals International Inc demonstrate a varying degree of leverage in its capital structure, with periods of higher and lower reliance on debt financing. These fluctuations may reflect changes in the company's capital needs, investment strategies, and overall financial health over time.

Coverage ratios

	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	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	-1.43	0.09	1.59	1.74	1.64	1.37	1.18	2.23	-1.05	-0.98	-0.85	-1.85	1.98	2.55	2.72	2.54	2.05	2.22	2.24	2.35

Interest coverage ratio measures a company's ability to meet its interest payments on outstanding debt. A higher ratio indicates a better ability to cover interest expenses with operating income. Looking at the historical trend for Compass Minerals International Inc, the interest coverage ratio has fluctuated significantly over the past few quarters.

The interest coverage ratio was negative in several quarters, indicating that the company's operating income was insufficient to cover its interest expenses. However, there have been periods where the ratio improved, reaching above 2 in some quarters. This suggests that the company was able to generate enough operating income to cover its interest payments comfortably during those periods.

Overall, the interest coverage ratio for Compass Minerals International Inc has shown inconsistency and volatility, reflecting fluctuations in the company's financial performance and ability to manage its debt obligations. Investors and creditors may view this variability as a potential risk factor, highlighting the importance of closely monitoring the company's financial health and debt management practices.