Duke Energy Corporation (DUK)
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 | 3.72 | 3.74 | 3.65 | 3.61 | 3.60 | 3.70 | 3.73 | 3.63 | 3.61 | 3.50 | 3.47 | 3.46 | 3.44 | 3.39 | 3.44 | 3.39 | 3.39 | 3.51 | 3.52 | 3.41 |
Duke Energy Corporation's solvency ratios indicate a strong financial position with consistently low levels of debt relative to its assets, capital, and equity. The debt-to-assets ratio, debt-to-capital ratio, and debt-to-equity ratio have all been reported as 0.00 across multiple quarters, reflecting that the company has no debt relative to its total assets, capital, and equity.
The financial leverage ratio, which measures the company's total assets against its equity, has shown a slightly increasing trend over the quarters, starting at 3.41 in March 2020 and reaching 3.72 by December 2024. This indicates that Duke Energy Corporation's reliance on debt financing has marginally increased over time, but the overall level of leverage remains moderate.
In conclusion, Duke Energy Corporation appears to be in a stable financial position with low debt levels and a manageable level of financial leverage, indicating a strong solvency and ability to meet its financial obligations 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 | 2.48 | 2.45 | 2.49 | 2.41 | 2.39 | 2.40 | 2.51 | 2.70 | 2.73 | 2.67 | 2.69 | 2.64 | 2.78 | 2.35 | 2.31 | 1.33 | 1.24 | 1.71 | 1.78 | 2.73 |
The interest coverage ratio for Duke Energy Corporation has shown fluctuating trends over the past five years based on the provided data. The ratio indicates the company's ability to meet its interest obligations with its operating income.
Starting from March 31, 2020, the interest coverage ratio was 2.73, indicating that Duke Energy was able to cover its interest expenses 2.73 times over with its operating income. However, the ratio declined to 1.78 by June 30, 2020, and further dropped to 1.24 by December 31, 2020, suggesting a potential strain on the company's ability to meet its interest payments.
Thereafter, the interest coverage ratio recovered slightly, reaching 2.78 by December 31, 2021. The ratio continued to improve, peaking at 2.73 on December 31, 2022. However, from March 31, 2023, the ratio began to decline again, reaching 2.39 by December 31, 2023.
Over the most recent reporting periods, the interest coverage ratio for Duke Energy has remained relatively stable, ranging between 2.40 and 2.49. This stability indicates that the company has been able to consistently meet its interest obligations with its operating income, albeit at a lower level compared to previous peaks.
Overall, while Duke Energy's interest coverage ratio has shown some volatility, the recent stability in the ratio suggests that the company's ability to cover its interest expenses has been relatively consistent in the past few quarters. It would be important for investors and stakeholders to continue monitoring this ratio to ensure Duke Energy's financial health and ability to meet its debt obligations.