Dream Finders Homes Inc (DFH)
Solvency ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | |
|---|---|---|---|---|
| Debt-to-assets ratio | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 2.67 | 2.77 | 2.96 | 3.40 |
Dream Finders Homes Inc has consistently shown strong solvency ratios over the analyzed period. The debt-to-assets ratio, debt-to-capital ratio, and debt-to-equity ratio have remained at 0.00 across all years, indicating that the company carries minimal debt relative to its assets, capital, and equity. This reflects a low level of financial risk and suggests that the company has a strong financial position with ample assets to cover its obligations.
Furthermore, the financial leverage ratio has shown a declining trend from 3.40 in 2021 to 2.67 in 2024. This indicates that the company has been reducing its reliance on debt financing over time, which has led to a more efficient capital structure and improved financial stability. Overall, the solvency ratios suggest that Dream Finders Homes Inc is in a healthy financial position with a conservative approach to leverage, which bodes well for its long-term sustainability and ability to weather economic downturns.
Coverage ratios
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | |
|---|---|---|---|---|
| Interest coverage | — | 15.46 | 10,756.38 | 222.11 |
Dream Finders Homes Inc's interest coverage ratio experienced significant fluctuations over the years. From December 31, 2021, to December 31, 2022, there was a substantial increase in the ratio from 222.11 to 10,756.38, indicating a substantial improvement in the company's ability to cover its interest expenses with its operating income.
However, by December 31, 2023, the interest coverage ratio declined to 15.46. This decrease suggests a reduced ability to cover interest payments compared to the previous year. The significant drop in the ratio could raise concerns about the company's financial health and its ability to meet its debt obligations.
Unfortunately, no data is available for December 31, 2024. This missing data makes it challenging to assess the current trend in the interest coverage ratio and its potential impact on Dream Finders Homes Inc's financial stability.
Overall, the fluctuations in Dream Finders Homes Inc's interest coverage ratio highlight the importance of closely monitoring the company's financial performance and debt management practices to ensure its long-term sustainability.