Brinker International Inc (EAT)
Solvency ratios
| 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 23, 2020 | Sep 23, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 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 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Debt-to-equity ratio | 0.00 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Financial leverage ratio | 65.81 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Based on the provided data, Brinker International Inc's solvency ratios show a consistent trend of having zero or very low values for the debt-to-assets ratio, debt-to-capital ratio, and debt-to-equity ratio across multiple reporting periods. This indicates that the company has minimal or no debt relative to its assets, capital, and equity during the analyzed periods.
However, the financial leverage ratio stands out with a value of 65.81 for the most recent period. The financial leverage ratio measures the extent to which a company relies on debt financing in its capital structure. A higher financial leverage ratio indicates a higher level of financial risk due to the increased proportion of debt in the capital structure.
It is important to note that the lack of data for the debt-to-capital ratio and debt-to-equity ratio in some periods limits a comprehensive analysis of Brinker International Inc's solvency from those perspectives.
Coverage ratios
| 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 23, 2020 | Sep 23, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | 3.54 | 3.36 | 3.38 | 3.18 | 2.65 | 2.55 | 2.40 | 2.53 | 3.50 | 4.54 | 4.33 | 3.74 | 3.58 | 0.81 | 0.62 | 0.97 | 1.08 | 3.05 | 3.49 | 3.57 |
The interest coverage ratio of Brinker International Inc has shown fluctuations over the analyzed periods. The ratio indicates the company's ability to cover its interest expenses with its earnings before interest and taxes (EBIT). A higher interest coverage ratio is generally considered favorable as it implies the company has sufficient earnings to meet its interest obligations.
From December 2019 to March 2020, the interest coverage ratio was relatively stable around 3.05 to 3.57, indicating a healthy ability to cover interest expenses. However, the ratio dropped significantly in June 2020 to 0.97 and further declined in the subsequent quarters, hitting a low of 0.62 in March 2021.
The company's interest coverage ratio began to improve in the later quarters of 2021, reaching levels above 3.0 again by December 2021. The ratio continued to increase through March 2022, indicating improved earnings relative to interest expenses.
Overall, the upward trend in the interest coverage ratio from 2021 to 2022 suggests that Brinker International Inc has been able to enhance its ability to cover interest costs with its operating income. However, the significant fluctuations in the ratio highlight the importance of closely monitoring the company's financial performance and debt management strategies.