CONMED Corporation (CNMD)
Solvency ratios
| 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 | Jun 30, 2020 | Mar 31, 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 | 2.40 | 2.48 | 2.59 | 2.70 | 2.76 | 2.92 | 2.98 | 3.08 | 3.08 | 3.20 | 3.08 | 2.26 | 2.25 | 2.32 | 2.37 | 2.41 | 2.47 | 2.55 | 2.55 | 2.50 |
CONMED Corporation's solvency ratios, specifically the Debt-to-assets, Debt-to-capital, and Debt-to-equity ratios, have consistently remained at 0.00 over the reported periods from March 31, 2020, to December 31, 2024. This indicates that the company has not utilized debt extensively to finance its operations and investments relative to its assets, capital, or equity.
The Financial Leverage Ratio, which measures the extent of a company's financial leverage, shows a fluctuating trend over the same period. The ratio was relatively stable around 2.50 to 2.55 from March to December 2020, indicating a moderate level of financial leverage. However, there was a gradual increase in the ratio from March 2021 to September 2022, peaking at 3.20 in September 2022 before decreasing to 2.40 by December 2024. This implies that CONMED Corporation increased its financial leverage significantly in the mid-term but has since managed to reduce it closer to the initial levels.
Overall, the solvency ratios suggest that CONMED Corporation has maintained a conservative debt management approach, which has resulted in a stable capital structure and financial leverage over the reported periods.
Coverage ratios
| 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 | Jun 30, 2020 | Mar 31, 2020 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 5.22 | 4.88 | 3.55 | 3.00 | 1.88 | 0.78 | 0.65 | -2.26 | -2.30 | -1.05 | -0.54 | 2.88 | 2.72 | 2.15 | 2.10 | 1.11 | 1.05 | 1.14 | 0.76 | 1.66 |
CONMED Corporation's interest coverage ratio has fluctuated over the reporting periods provided. The interest coverage ratio is calculated by dividing earnings before interest and taxes (EBIT) by the interest expense. A higher interest coverage ratio indicates that the company is more capable of meeting its interest obligations.
From March 31, 2020, to December 31, 2021, CONMED's interest coverage ratio ranged between 0.76 and 2.72, showing some level of variability in its ability to cover interest payments. However, the ratios were generally above 1, indicating that the company generated enough earnings to cover its interest expenses during this period.
Significant improvements in the interest coverage ratio were observed in the latter half of 2021 and early 2022, with ratios exceeding 2. This suggests an enhanced ability to meet interest payments and a potentially lower financial risk for the company during that period.
However, a notable decline in the interest coverage ratio was observed from June 30, 2022, to March 31, 2023, where the ratios became negative (-0.54 to -2.26). This indicates that, during these quarters, the company's earnings were insufficient to cover its interest expenses, raising concerns about its financial health and ability to meet debt obligations.
From June 30, 2023, onwards, the interest coverage ratio gradually improved, surpassing 1 and steadily increasing to 5.22 by December 31, 2024. These higher ratios suggest that CONMED's earnings were more than sufficient to cover its interest payments, indicating a healthier financial position and reduced risk of defaulting on its debt obligations during this latter period.
Overall, CONMED Corporation's interest coverage ratios have exhibited variability, with periods of improvement and decline. Monitoring this ratio is crucial for assessing the company's ability to handle its interest expenses and manage its debt effectively.