CorVel Corp (CRVL)
Solvency ratios
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| 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 | 1.70 | 1.84 | 1.95 | 1.96 | 1.93 |
CorVel Corp maintains a strong financial position in terms of solvency, as evidenced by its consistently low debt-to-assets, debt-to-capital, and debt-to-equity ratios, which all stand at 0.00 over the past five years. This indicates that the company has minimal reliance on debt to finance its operations and that its assets are predominantly funded by equity.
The financial leverage ratio, which measures the extent to which a company is using debt to finance its operations, has shown a declining trend from 1.93 in 2021 to 1.70 in 2025. This decreasing trend indicates that CorVel Corp has been reducing its reliance on debt over the years in favor of equity financing, which is a positive sign of financial stability and risk management.
Overall, CorVel Corp's solvency ratios suggest a conservative and prudent approach to capital structure management, with a strong emphasis on equity financing and a minimal reliance on debt, which bodes well for the company's long-term financial health and stability.
Coverage ratios
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | |
|---|---|---|---|---|---|
| Interest coverage | — | — | 3.37 | 3.53 | 2.52 |
The interest coverage ratio measures a company's ability to pay interest expenses on its outstanding debt. A higher interest coverage ratio indicates that the company is more capable of meeting its interest obligations.
Analyzing CorVel Corp's interest coverage ratio over the years shows a varied trend.
- In March 31, 2021, the interest coverage ratio was 2.52, indicating that the company's earnings were sufficient to cover its interest payments 2.52 times.
- By March 31, 2022, the interest coverage ratio improved to 3.53, reflecting a stronger ability to meet interest expenses.
- However, in March 31, 2023, the interest coverage ratio slightly decreased to 3.37. This still indicates a healthy coverage of interest payments.
- Surprisingly, data for March 31, 2024, and March 31, 2025 are not available (indicated by "—"). This lack of data limits our ability to assess the company's recent performance regarding interest coverage.
Overall, CorVel Corp's interest coverage ratio has shown some positive improvements in recent years, suggesting a reasonable capability to handle its interest obligations. However, the absence of data for 2024 and 2025 prevents a comprehensive analysis of the company's current standing in this aspect.