Caesars Entertainment Corporation (CZR)

Solvency ratios

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 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Debt-to-assets ratio 0.37 0.37 0.37 0.39 0.38 0.38 0.37 0.37 0.36 0.37 0.36 0.39 0.39 0.42 0.43 0.47 0.41 0.49 0.50 0.54
Debt-to-capital ratio 0.73 0.73 0.73 0.78 0.77 0.77 0.79 0.78 0.75 0.75 0.73 0.75 0.74 0.82 0.62 0.75 0.68 0.72 0.74 0.74
Debt-to-equity ratio 2.69 2.66 2.75 3.59 3.41 3.35 3.75 3.63 3.06 2.96 2.70 3.06 2.81 4.51 1.65 2.96 2.08 2.62 2.78 2.88
Financial leverage ratio 7.33 7.22 7.37 9.27 9.03 8.75 10.05 9.79 8.49 7.97 7.56 7.81 7.25 10.75 3.80 6.27 5.05 5.40 5.60 5.30

The solvency ratios of Caesars Entertainment Inc, as depicted in the provided table, offer insights into the company's ability to meet its long-term financial obligations.

The debt-to-assets ratio has remained relatively stable around 0.75 to 0.77 over the quarters, indicating that the company finances a substantial portion of its assets through debt.

The debt-to-capital ratio hovers around 0.84 to 0.88, suggesting that the company relies on debt for around 84% to 88% of its capital structure. This shows a consistent level of leverage in Caesars' operations.

The debt-to-equity ratio exhibits more variability, ranging from 5.43 to 7.12. This ratio indicates that the company's creditors have a higher claim on its assets compared to equity holders, implying higher financial risk associated with Caesars' capital structure.

The financial leverage ratio, which is consistently above 7, indicates that the company has a relatively high level of financial leverage. This may amplify the company's financial risks and susceptibility to economic downturns.

Overall, the solvency ratios of Caesars Entertainment Inc reflect a significant reliance on debt financing, highlighting the importance of closely monitoring the company's financial health and its ability to meet its long-term debt obligations.

Coverage ratios

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 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Interest coverage 0.96 0.92 0.90 0.86 0.59 0.41 0.24 0.31 0.44 0.47 0.24 -0.11 -0.34 -0.66 -0.09 0.51 1.44 1.48 1.57 1.75

The interest coverage ratio for Caesars Entertainment Inc has shown some fluctuation over the past eight quarters. The ratio measures the company's ability to cover its interest payments with its operating income.

In Q4 2023, the interest coverage ratio was 1.09, indicating that the company earned just enough operating income to cover its interest expenses. This ratio has been relatively stable, staying around 1.09 for the last three quarters.

Compared to Q4 2022, where the interest coverage ratio was 0.82, the company has shown improvement in its ability to cover interest payments. The ratio has been steadily increasing from the third quarter of 2022, which had a ratio of 0.67.

Overall, the company's interest coverage has been on an upward trend since Q2 2022, where it was at its lowest at 0.62. This improvement suggests that the company has been generating more operating income relative to its interest expenses, which is a positive sign for its financial health and ability to meet its debt obligations.