Dorman Products Inc (DORM)
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 | 1.87 | 1.91 | 1.90 | 1.89 | 1.96 | 2.00 | 2.08 | 2.15 | 2.25 | 1.76 | 1.78 | 1.80 | 1.79 | 1.79 | 1.42 | 1.43 | 1.43 | 1.00 | 1.46 | 1.46 |
Dorman Products Inc has consistently maintained a low level of debt in relation to its assets, capital, and equity, as indicated by its Debt-to-assets ratio, Debt-to-capital ratio, and Debt-to-equity ratio all being at 0.00 across multiple quarters. This suggests that the company relies less on debt financing and has a strong financial position in terms of solvency.
The Financial Leverage ratio, which indicates the extent to which the company is using debt to finance its operations, has shown a slight increase over the quarters, with some fluctuations. While the ratio has increased from 1.46 in March 2020 to 1.87 in December 2024, it remains at a moderate level overall. This demonstrates that the company has not significantly increased its debt levels relative to its equity, indicating a balanced capital structure.
Overall, based on the solvency ratios, Dorman Products Inc appears to have a strong financial position with minimal reliance on debt, which is a positive indicator for its ability to meet its financial obligations and sustain its operations in the long term.
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 | 8.11 | 7.30 | 6.53 | 5.55 | 4.36 | 4.40 | 5.22 | 7.52 | 14.51 | 31.57 | 40.64 | 56.03 | 89.63 | 242.78 | — | — | — | — | — | — |
Dorman Products Inc's interest coverage ratio, which measures the company's ability to meet its interest obligations, has shown a fluctuating trend over the past few years. As of December 31, 2024, the interest coverage ratio stands at 8.11, indicating that the company is generating 8.11 times the earnings needed to cover its interest expenses.
The trend in the interest coverage ratio shows a gradual decline from 242.78 in September 30, 2021, to 8.11 in December 31, 2024. This decline may indicate increasing financial obligations or a decrease in earnings relative to the interest expenses.
A higher interest coverage ratio is generally viewed positively as it suggests that the company is in a stronger position to meet its interest payments. Conversely, a declining interest coverage ratio raises concerns about the company's financial health and its ability to service its debt in the long run.
It would be advisable for stakeholders to closely monitor Dorman Products Inc's interest coverage ratio and assess the company's ability to manage its debt obligations effectively in the future.